Cristiano Ronaldo, the renowned soccer superstar, is currently facing a massive $1 billion class-action lawsuit due to his promotion of Binance, the world’s largest cryptocurrency exchange.
The lawsuit alleges Ronaldo’s endorsement of Binance as being “deceptive and unlawful.”
The class action lawsuit was filed on November 27, 2023, in the Southern District of Florida on behalf of Binance customers who lost money in crypto investments. The class action plaintiffs seek $1 billion in damages.
This significant legal development has generated widespread media attention, as it involves one of the world’s highest-paid athletes and his role in promoting a controversial financial investment.
The implications of this civil lawsuit reach beyond Ronaldo and Binance, as it highlights the continuing scrutiny of celebrity and influencer endorsements in the crypto and NFT space. As the case proceeds, the public’s focus will be on the potential ramifications for both parties and the industry as a whole.
The Lawsuit Against Cristiano Ronaldo
Claims of Deceptive Advertising
Portuguese soccer star Cristiano Ronaldo is facing a $1 billion class action lawsuit for his role in promoting cryptocurrency-related non-fungible tokens (NFTs) through Binance, a major cryptocurrency platform.
The plaintiffs in the case allege that Ronaldo used deceptive advertising practices to promote the sale of these NFTs, leading to substantial financial losses for investors who took part in the transactions.
The lawsuit claims that Ronaldo, in collaboration with Binance, encouraged investment in the cryptocurrency venture without providing enough warnings about the risks involved.
Investors argue that Ronaldo’s involvement and endorsement of the project influenced their decision to invest and that his promotion played a significant role in the losses they experienced.
Reasoning for the $1 Billion in Damages
The $1 billion in damages sought by the plaintiffs is a considerable sum, far exceeding the endorsement fees that Ronaldo might have received from Binance. The reasoning behind this large amount stems from the extent of the financial losses suffered by investors who participated in the buying and selling of NFTs on the Binance exchange.
Investors allege that they were led to believe that their investments in the NFTs would yield significant returns due to Ronaldo’s endorsement and Binance’s reputation. As a result, they claim that a significant part of the blame for their financial losses should be attributed to Ronaldo and Binance.
Binance customers who have joined the class action lawsuit believe that the $1 billion in damages would serve as suitable compensation for their losses. Furthermore, they argue that the large amount would help deter other high-profile figures from engaging in similar promotional activities in the future.
This high-profile lawsuit further highlights the potential dangers associated with celebrity endorsements and the responsibilities of endorsers when promoting risky financial products. The outcome of the case may have a lasting impact on how celebrities choose to engage in such promotions going forward.
Cristiano Ronaldo’s Association with Binance
Details of the Promotion
Cristiano Ronaldo, the renowned Portuguese soccer star, is now facing a $1 billion class action lawsuit due to his promotion of Binance, the world’s largest cryptocurrency exchange.
Ronaldo actively endorsed Binance’s products, such as non-fungible tokens (NFTs), which caught the attention of a vast audience.
Previous Endorsements and Controversies
While this is not Ronaldo’s first endorsement, it has certainly sparked considerable controversy.
As one of the world’s highest-paid athletes, his promotional activities have significantly impacted various brands. However, his association with Binance has raised many legal concerns, primarily based on the alleged sale of unregistered securities.