Why have Steph Curry and Serena Williams been named in a class action suit against the Bored Ape Yacht Company?
Though they’re not responsible for the financial losses of buyers, their alleged involvement in the situation, along with a number of other celebrities, is not a good look.
The NFT craze has taken a firm hold among professional athletes, but with reports confirming improper conduct on the part of some very high-profile individuals, that may not be a good thing.
Steph Curry & Serena Williams named in lawsuit against BAYC
According to recent reports, Golden State Warriors star Steph Curry and tennis legend Serena Williams are among a number celebrities who have been named in a class-action lawsuit against the creators of the NFT company Bored Ape Yacht Club. Filed earlier this week in California, the complaint alleges that as a result of celebrity endorsement, the company’s interest and value along with that of Yuga Labs’ Apecoin crypto tokens, were artificially increased. The end result was reportedly “staggering losses” for buyers.
Steph Curry is now part of the Bored Ape Yacht Club (“BAYC” in his Twitter bio), a collection of 10,000 unique Bored Ape NFTs.
— Boardroom (@boardroom) August 29, 2021
The 2x MVP paid 55 ETH for this one, which is $180,000 — or, 0.39% of his $45.7M salary next season.
What a time. pic.twitter.com/T9iBcM7hjk
“Defendants’ promotional campaign was wildly successful, generating billions of dollars in sales and re-sales,” reads the complaint. “The manufactured celebrity endorsements and misleading promotions regarding the launch of an entire BAYC ecosystem (the so-called Otherside metaverse) were able to artificially increase the interest in and price of the BAYC NFTs during the Relevant Period, causing investors to purchase these losing investments at drastically inflated prices.” The lawsuit itself goes on to claim that the brand relied “heavily on the perception that ‘joining the club’ (i.e., buying a BAYC NFT)” would not only give buyers status, but provide them with benefit including access to events and “other lucrative investment opportunities exclusive to BAYC holders.”
What other celebrities are named in the BAYC lawsuit
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Among those also linked to the suit are Justin Bieber, Madonna, Kevin Hart, Snoop Dogg and Jimmy Fallon. Interestingly, the complaint alleges that the large majority of those named were recruited by talent manager Guy Oseary and the celebrities in question were paid discretely via the crypto firm Moonpay. “In truth, the Executive Defendants and Oseary used their connections to MoonPay and its service as a covert way to compensate the Promoter Defendants for their promotions of the BAYC NFTs without disclosing it to unsuspecting investors,” reads the complaint.
Numerous celebrities have been named in a class action lawsuit for promoting their Bored Ape Yacht Club NFT without disclosing to consumers they were being paid to do so.
— Ariel Givner (@GivnerAriel) December 9, 2022
When will they learn?
The complete list of defendants is listed below in the Complaint caption. pic.twitter.com/cL8IE9Q1YU
Steph Curry faces another legal issue
It’s worth mentioning, that the Warriors star is also a defendant in a class-action lawsuit against FTX, a cryptocurrency company that filed for bankruptcy in November. At the time, CO Sam Bankman-Fried resigned following a sudden and dramatic loss of assets - $16 billion worth to be precise. Alongside Curry, are a number of other high-profile defendants including, Tampa Bay Buccaneers quarterback Tom Brady, NBA legend Shaquille O’Neal and Jacksonville Jaguars quarterback Trevor Lawrence.