Shaquille O’Neal has agreed to a $1.8 million settlement regarding allegations that he misled investors by endorsing the now-defunct cryptocurrency exchange FTX. As a prominent figure, O’Neal encouraged fans to trust the platform, which has since come under scrutiny for its collapse. The settlement, filed in a Florida federal court, addresses a class action lawsuit claiming O’Neal portrayed FTX as a reliable investment, particularly through social media and public events, while allegedly promoting unregistered securities.
The class action includes individuals who deposited money into FTX or held its native token, FTT, from May 2019 until late 2022. If approved by the judge, the settlement will cover legal costs, administrative expenses, and payments to qualifying investors. O’Neal’s settlement also includes a broad release from future liabilities and prevents him from seeking reimbursement from FTX’s bankruptcy estate, making his financial obligation final and comprehensive.
O’Neal’s legal team expressed relief at putting this issue behind them. In contrast, other celebrity endorsers of FTX, such as Tom Brady and Gisele Bündchen, had their cases largely dismissed earlier. O’Neal faced challenges in being served legal papers, prolonging his involvement in the case. Previously, he described himself as merely a “paid spokesperson” and has expressed skepticism towards cryptocurrency, stating he intended to stay away from it until he understood it better, citing concerns about it being “too good to be true.” This settlement represents a significant moment in the ongoing legal fallout following FTX’s failure.
Note: The image is for illustrative purposes only and is not the original image associated with the presented article. Due to copyright reasons, we are unable to use the original images. However, you can still enjoy the accurate and up-to-date content and information provided.
