June 7, 2023

Investors sue basketball player Shaquille O'Neal for promoting NFT Astrals

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Investors sue basketball player Shaquille O'Neal for promoting NFT Astrals

Investors have filed a class-action lawsuit against basketball player Shaquille O'Neal, accusing him of promoting Astrals non-fungible tokens (NFTs) and violating securities laws.

According to a complaint filed by investor DanielHarper (Daniel Harper) in the US District Court for the Southern District of Florida, Shaquille O'Neal (Shaquille O'Neal) actively advertised NFT Astrals, which are unregistered securities.

Harper stated that following the recommendationsfamous basketball player, he bought Astrals tokens, which were presented as 3D avatars of the world famous artist. These collectible tokens were supposed to be used in the metaverse. However, when their rate fell, the investor lost the money invested.

Harper seeks a refundcompensation for damages and the introduction of consumer protection measures. The complaint also states that the basketball legend promoted other cryptocurrency projects among his 30.4 million followers on Instagram and various social networks, including the FTX exchange.

Note that O'Neal is included in the list of celebrities,appearing in a separate lawsuit over the collapse of FTX, which he helped promote. Earlier, lawyer Adam Moskowitz, who represents the interests of the plaintiffs in both lawsuits, accused the basketball player of avoiding trial. In April, lawyers still managed to serve O'Neill with a subpoena.

Last year the State Securities BoardTexas began to look into the legitimacy of celebrity advertising for the US arm of the FTX exchange, as to how easily they told users about the risks of using such platforms.