Cristiano Ronaldo Faces Lawsuit For Promoting Crypto Exchange Binance

CS Web Team
By CS Web Team 2 Min Read

Cristiano Ronaldo faces a class-action lawsuit over alleged endorsement of troubled Binance, accused of promoting unregistered securities.

Cristiano Ronaldo, a well-known soccer player, is the target of a proposed class-action lawsuit from plaintiffs who claim they lost money as a result of his support for the cryptocurrency exchange Binance, which is presently dealing with legal troubles.

Ronaldo is accused of actively participating in the promotion and sale of unregistered securities in partnership with Binance, according to a filing filed on November 27 in a US district court located in Florida.

To market Ronaldo’s nonfungible tokens (NFTs), Binance and the player partnered for a multiyear arrangement in the middle of 2022. Ronaldo had at least three NFT collections connected to Binance.

As per the complaint, those who registered for Ronaldo’s NFTs had a higher likelihood of using Binance for other purposes, like investing in what the plaintiffs contend are unregistered securities, like Binance’s BNB cryptocurrency, which has experienced a decline in value to $230, and its cryptocurrency yield programs.

According to the lawsuit, “Ronaldo’s promotions encouraged his millions of fans, followers, and supporters to invest with the Binance platform, soliciting or assisting Binance in soliciting investments in unregistered securities.”

According to the lawsuit, given his experience in investments and access to outside advisors, Ronaldo should have known that Binance was selling unregistered cryptocurrency assets.

The lawsuit made reference to regulations released by the Securities and Exchange Commission (SEC) of the United States, which recommend that celebrities reveal any payments they receive for endorsing cryptocurrency. Ronaldo allegedly disregarded these rules, according to the complaint.

In the class-action complaint, Gordon Lewis, Mikey Vongdara, and Michael Sizemore are the plaintiffs, and they are requesting damages as well as reimbursement for their legal costs.

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