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FTX suit: Tom Brady, Larry David among celebs named
Ahost of Hollywood and sports celebrities including comedian Larry David and footballer Tom Brady were named as defendants in a class-action lawsuit against cryptocurrency exchange FTX, arguing that their celebrity status made them culpable for promoting the firm’s failed business model.
FTX has been in the public eye for more than a week, after the third-largest cryptocurrency exchange ended up with billions of dollars worth of losses and had to seek bankruptcy protection. The Bahamasbased company and its founder, Sam BankmanFried, are under investigation by state and federal authorities for allegedly investing depositors funds in ventures without their approval.
Before its failure, FTX was known to use highprofile Hollywood and sports celebrities to promote its products. It had the naming rights to a
Formula One racing team as well as a sports arena in Miami. Its commercials featured Seinfeld creator David, as well as Brady, the star quarterback, basketball players Shaquille O’Neal and Stephen Curry, and tennis star Naomi Osaka.
The lawsuit filed late Tuesday alleges that these sports and TV celebrities brought instant credibility to FTX, and should be held just as culpable as Bankman-Fried.