Shaquille O'Neal Reaches $1.8 Million Settlement in FTX Class-Action Case

Overview

Shaquille O’Neal has chosen to settle a class-action lawsuit related to his promotion of the now-defunct FTX crypto exchange, agreeing to a payment of $1.8 million. Recent reports indicate that this settlement amount exceeds the $750,000 he initially received for participating in an advertisement for the exchange.

Details of the Settlement

The lawsuit was initiated by FTX investors who deposited funds from May 2019 to late 2022.
O’Neal’s involvement in FTX advertising has drawn scrutiny from consumers who claim they were misled.
Post-collapse, O’Neal has stated he was merely a “paid spokesperson” for the brand.
If the settlement is finalized, O’Neal will not be liable for any future claims tied to this lawsuit, and he won’t be able to recoup any funds from FTX as a result.

Noteworthy Context

This settlement comes amid broader legal actions against several celebrities, including Tom Brady and Larry David, who endorsed the exchanges prior to its collapse.

FTX’s former founder Sam Bankman-Fried has been sentenced to 25 years in prison for fraud against customers and investors, marking a significant turn in the case of the failed exchange.