- Cristiano Ronaldo is slammed by a lawsuit alleging that the footballer assisted Binance in promoting the sale of unregistered securities.
- Ronaldo was instrumental in driving NFT sales on Binance with his reach of 850 million followers on Instagram.
- The lawsuit cites the SEC’s guidance that directs celebrities to disclose payments received for promotion of crypto.
Cristiano Ronaldo is slammed by a class-action lawsuit from plaintiffs alleging that they suffered losses from the footballer’s promotion of at least three of his NFT collections with Binance, as reported by Cointelegraph. Binance entered a partnership with the sports player in 2022 for his NFT promotion.
Also read: Bitcoin price eyes $41,000 target with declining BTC balance on exchanges
Cristiano Ronaldo hit with class-action lawsuit
According to a Cointelegraph report, a class-action lawsuit was filed by plaintiffs that alleges that they suffered losses from Ronaldo’s promotion of the crypto exchange Binance. Plaintiffs filed the lawsuit on November 27, to a US district court in Florida and alleged that Ronaldo “promoted, assisted in, and/or actively participated in the offer and sale of unregistered securities in coordination with Binance.”
Binance recently made headlines for its $4.3 billion settlement with the US Department of Justice. The football star entered a multiyear partnership with the exchange for promotion and sale of his NFT collections, tied to the exchange platform. The complainants claim that Ronaldo used his influence – over 850 million Instagram followers – to promote the sale of his NFT collections.
Market participants who purchased NFTs from Ronaldo’s collection tied to Binance were likely to use Binance for investing in cryptocurrencies, or “unregistered securities” according to the lawsuit. The Al Nassr star completed the successful sale of his NFT collections in association with Binance, the footballer is now slammed with a $1 billion lawsuit.
The SEC had issued a guidance for celebrities to disclose their payments from the promotion of cryptocurrencies, plaintiffs allege that Ronaldo failed to do so. Federal Securities Laws require any celebrity or other individual who promotes a crypto asset security to disclose the nature, source, and amount of compensation they received in exchange for the promotion.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC
Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.
Ethereum Classic price sets for a rally following retest of key support
ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.
Celebrity meme coins lose their shine
Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.
Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
Bitcoin: Will BTC manage to recover from recent market turmoil?
Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.