What happened?
Shaquille O’Neal agreed to pay $11 million to settle a class-action lawsuit related to his promotion of the Astrals NFT project. A Florida federal judge approved the settlement, which includes compensation for investors who bought Astrals NFTs or GLXY tokens. The court also approved $2.9 million in attorney fees as part of the settlement agreement.
Who does this affect?
This settlement primarily affects investors who bought into the Astrals NFT project between May 2022 and January 15, 2024. These individuals qualify for compensation from the $11 million settlement fund. Shaq’s involvement in the settlement is a critical point for fans and followers of his endorsements.
Why does this matter?
The settlement highlights ongoing issues in the NFT market, where celebrity endorsements can impact investor decisions and lead to legal consequences. The subdued NFT market, with trading volumes significantly down from past peaks, indicates broader challenges for the industry. Companies pulling back from NFT ventures, like Starbucks and GameStop, underscore market instability and shifting priorities.