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.
“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
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.