Shaquille O’Neal to Pay $1.8M in FTX Promotion Settlement
Shaquille O’Neal has agreed to pay $1.8 million to settle a class-action lawsuit accusing him of promoting the now-bankrupt crypto exchange FTX, according to media reports published this week.
The lawsuit alleged that O’Neal misled investors by appearing in FTX advertisements, which plaintiffs claim helped legitimize the platform before its collapse in late 2022. The settlement figure is significantly higher than the $750,000 O’Neal was reportedly paid for participating in the campaign.
O’Neal has long maintained that he was only a paid actor, not a financial advisor or partner of the exchange. His name appeared alongside other celebrities, including Tom Brady and Larry David, in lawsuits filed on behalf of users who lost funds deposited between May 2019 and 2022.
If approved, the agreement will release O’Neal from future liability related to the case. He will also waive any claim to compensation from the FTX bankruptcy estate and admit no wrongdoing under the settlement’s terms.
The lawsuit is one of several stemming from FTX’s sudden collapse, which resulted in billions in customer losses. FTX founder Sam Bankman-Fried was sentenced earlier this year to 25 years in prison for fraud and conspiracy. That sentence may be reduced under certain federal provisions.
