FTX's bankruptcy has not only shaken the cryptocurrency market. Among those affected are several celebrities who were ambassadors of the company and who cashed in with FTX tokens and shares. Gisele Bündchen, Tom Brady, Shaquille O'Neill and Stephen Curry are some of the notable names included. In addition, these celebrities have been named as defendants in a class action lawsuit against Sam Bankman-Fried, the company's former CEO.
As picked up by Fox Business, NFL superstar Brady agreed to become an FTX ambassador in 2021 in exchange for shares in the company and payment in the digital currency. His then-wife, Gisele Bündchen, also reached an agreement with Bankman-Fried to become the company's climate and social action advisor.
Brand ambassadors
Meanwhile, Golden State Warriors point guard Stephen Curry signed an endorsement deal whereby his image would be used to "expand the reach of the FTX brand and promote the viability of cryptocurrency to new audiences." As in the previous case, the player received equity and tokens as compensation.
Also from the NBA world, Shaquille O'Neill was also an FTX shareholder and ambassador and participated in promotional videos.
Sued for "aggressively market[ing]" cryptocurrency
In addition, tennis stars such as Naomi Osaka and baseball stars such as Shohei Ohtani and David Ortiz had a contractual relationship with the now-bankrupt company.
Aside from the money lost, these celebrities face, as defendants, a class-action lawsuit against the former FTX CEO, as published by The Washington Examiner. The lawsuit argues that "The Deceptive and failed FTX Platform was based upon false representations and deceptive conduct." In this regard, the lawsuit alleges that the celebrity defendants are liable because they "promoted, assisted in, and actively participated and aggressively marketed" the FTX platform.
More than one million affected
According to documents filed by the company with the bankruptcy court, more than one million people may have been affected. According to company sources, FTX claims that it was only aware of the existence of 100,000 creditors.
