Basketball star Shaquille O'Neal has agreed to settle claims associated with the Astrals NFT project for $11 million. This decision is linked to the sale of unregistered securities through NFTs and the GLXY token.
Settlement and Legal Claims
Under the settlement terms, O'Neal and other parties involved in the Astrals project will pay $11 million to cover costs and compensate investors who purchased NFTs before the project's collapse in 2022. This agreement will also help O'Neal avoid prolonged legal proceedings.
O'Neal's Liability in NFT Case
The lawsuit alleged that O'Neal fraudulently promoted securities through NFTs and the GLXY token without registration. A Florida judge found that O'Neal could be held liable as a 'seller' of these securities, based on his financial interest in the Astrals project and active promotion via social media.
Celebrities' Increasing Crypto Issues
Numerous celebrities, including Kim Kardashian and Tom Brady, are facing challenges due to their promotion of cryptocurrencies. This is part of a wider trend where public figures are being held accountable for endorsing digital assets not registered as securities.
The settlement with Astrals NFT investors will allow Shaquille O'Neal to avoid further legal disputes. This incident underscores the increased accountability celebrities face for involvement in promoting crypto assets.
