Golden State Warriors are named in a class-action lawsuit over the FTX partnership following the collapse of FTX.

Kutl Ahmedia

Golden State Warriors, the defending NBA champions, are currently one of the people and entities named in a new wave of class action lawsuits pertaining to the FTX disaster. According to numerous sources, the NBA squad is currently charged with deceiving FTX consumers regarding the security and dependability of the cryptocurrency exchange. The news comes after Stephen Curry, a star player for the Warriors franchise, was named in a lawsuit along with actors Larry David and Tom Brady, who were accused of engaging in dishonest business tactics against investors who were hurt by the collapse of FTX in the US.

According to a report by Reuters, Elliott Lam, a Canadian citizen who resides in Hong Kong, filed a class-action complaint on Monday in federal court in San Francisco on behalf of "thousands, if not millions" of individuals who trade cryptocurrencies on FTX outside the US. Sam Bankman-Fried, the creator of FTX, and Caroline Ellison, the executive director of Bankman-trading Fried's firm Alameda Research, are also listed as defendants in the action.

According to Lam's lawsuit, FTX "falsely represented" itself as a "viable and safe means to invest in cryptocurrency." Lam is requesting compensation for the losses in his FTX account totaling $750,000 (approximately Rs. 6.08 crore), as well as other damages to clients outside the US.

One of the earliest crypto alliances in sports was when the 2022 NBA champions declared FTX as their official cryptocurrency platform. At the time, Brett Harrison, president of FTX US, claimed the alliance with the Warriors improved FTX's capacity "to create a positive change, not only domestically but internationally, with one of the most prestigious professional sports franchises in the world" by giving fans abroad a safe place to access the franchise's exclusive collectibles.

The Warriors basketball team released exclusive NFT collections on the site as a result of their collaboration with FTX. Additionally, FTX had their brand virtually placed on the floor of the Santa Cruz Warriors' pole pads and press tables, as well as the court of the Warrior esports squad during NBA 2K League matches.

The NBA All-Star point guard Stephen Curry, NFL quarterback Tom Brady, comedian Larry David, and tennis player Naomi Osaka are among the FTX endorsers who are being sued in Miami on November 16 by US-based FTX consumers seeking compensation from them.


Post a Comment

* Please Don't Spam Here. All the Comments are Reviewed by Admin.
Post a Comment (0)
To Top