Shaquille O’Neal, Stephen Curry, and Other Sporting Icons Who Are Involved in the $11 Billion Class Action Lawsuit Against Sam Bankman-Fried’s FTX
Stephen Curry, Shaquille O’Neal and several other major sports stars are part of a lawsuit involving an $11 billion class action lawsuit against Sam Bankman Fried, creator of the FTX. This has been a growing concern over the past few months and things are looking bleak for FTX.
Considering Curry and Shaq are well versed in their own rights, fans must surely be wondering what went wrong in their relationship with FTX and why they are now part of a lawsuit filed against it. To find out what’s going on, we need to take a closer look at FTX and understand the company’s current predicament. It will also help us understand why Shaq and Steph are at the forefront of this case.
Why is FTX being sued?
That’s undoubtedly the question people asked when we found out it was being sued. As some people may already know, FTX is a cryptocurrency exchange or a crypto hedge fund. Or at least they were until they suddenly declared bankruptcy. This caused the general public, who had invested a significant amount of money in the company, to panic and ask questions.
Well, it turns out that FTX has engaged in fraudulent practices and failed to make the risks of investing clear to its client base. The lawsuit has explained things clearly, “The fraudulent and failed FTX platform was based on misrepresentations and fraudulent behavior. Although many incriminating FTX emails and texts have already been destroyed, we have located them and they prove how FTX’s deceptive scheme was designed to take advantage of inexperienced investors from across the country. ”
It went on to claim that all major investors who lost a significant amount of money deserve fair compensation, estimated at around $11 billion. NBA stars who have invested in FTX include Steph Curry, Shaq and Udonis Haslem. In addition, other well-known sports stars such as Tom Brady and Naomi Osaka are also part of the lawsuit.
Even Dallas Mavericks owner and businessman Mark Cuban issued a statement calling out Sam Bankman. Cuban explained that borrowing money and pumping it into a company in hopes of keeping its value alive is a very foolish decision.
In any case, it’s unclear how they’re going to spend that much money when they’re actually broke. They need to find a way to compensate all investors and promoters who have backed FTX without clarity.