Larry David and other celebrities named in FTX lawsuit

midian182

Posts: 8,324   +103
Staff member
What just happened? Remember all the outcry when Larry David appeared in a Super Bowl commercial for now-collapsed crypto exchange FTX? The comedian probably wishes he'd never took part in the ad, too, given that he's one of several celebrities named in a lawsuit against the platform's former CEO Sam Bankman-Fried.

FTX's implosion earlier this month rocked the crypto industry. After traders withdrew $6 billion in three days from the platform following news of an FTC investigation into FTX mishandling withdrawal requests and Binance backing out of a merger deal, the company filed for Chapter 11 bankruptcy protection in the US on Friday.

Now, a class action lawsuit has been launched by investor Edwin Garrison against Bankman-Fried claiming he misled customers and cost investors billions of dollars in damages. The suit also names celebrities and athletes who promoted FTX as co-defendants, they include David, Tampa Bay Buccaneers quarterback Tom Brady, supermodel Gisele Bündchen (Brady's ex-wife), Golden State Warriors guard Stephen Curry, baseball players Shohei Ohtani and David Ortiz, businessman Kevin O'Leary, and others.

The lawsuit claims FTX was a Ponzi scheme targeting "unsophisticated investors from across the country" and that customers sustained $11 billion in damages. It adds that "part of the scheme employed by the FTX Entities involved utilizing some of the biggest names in sports and entertainment – like these Defendants – to raise funds and drive American consumers to invest in the [yield-bearing accounts], which were offered and sold largely from the FTX Entities' domestic base of operations here in Miami, Florida, pouring billions of dollars into the Deceptive FTX Platform to keep the whole scheme afloat."

As reported by The Guardian, some of the one-time celebrity supporters of FTX have been trying to distance themselves from the company. Brady has deleted several tweets tagging in Bankman-Fried from the company's Crypto Bahamas conference. Elsewhere, Miami Heat announced that its home arena, which has been called the FTX Arena since June 2021, will be getting a new name.

Bankman-Fried stepped down as CEO on November 11. FTX tweeted that he has no ongoing role at the firm, and he does not speak on its behalf.

FTX's collapse prompted Treasury Secretary Janet Yellen to call for more effective oversight of the cryptocurrency market. It also led to Genesis Global Capital suspending customer redemptions in its lending business yesterday. Bitcoin, meanwhile, has fallen 20% this month and is around $16,500 at the time of writing. Almost exactly one year ago, BTC reached an all-time high of $68,789.

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gdavid65

Posts: 42   +45
Who the f* is still buying or holding the rubbish? BTC should hardly be worth anything given all the collapses lately. Instead it really just shows the vast majority of coins are held by a small number of big whale shills who manipulate the market at whim. The rest/retail "investors" are simply the suckers waiting to feed those mouths the next time it bubbles. It's much more corrupt and shameful than even the existing fiat system.
 

Uncle Al

Posts: 9,331   +8,528
I have no sympathy for any "celebrity" that chooses to sell his soul in order to get all that endorsement money. If the courts acted responsibly they should hold these people's feet to the fire and drive home the message "if you endorse you better know the product and know you'll also be liable for any failures".
 

m4a4

Posts: 3,099   +4,142
TechSpot Elite
Suing FTX, sure. But this person doesn't sound like he's very smart with his money if he lets lawyers convince him that targeting people who got paid to advertise a service is a good idea too 😂

They would have to prove they were more than just a paid advertiser, but all it sounds like is lawyers trying to get a bigger paycheck...
 

Skjorn

Posts: 715   +586
I have no sympathy for any "celebrity" that chooses to sell his soul in order to get all that endorsement money. If the courts acted responsibly they should hold these people's feet to the fire and drive home the message "if you endorse you better know the product and know you'll also be liable for any failures".
If you got paid by FTX to be in a commercial on TV then you're actually responsible for the deception, lying and lawbreaking? Are yall high?
 

p51d007

Posts: 3,375   +3,046
I wish they would stop with the celebs hawking medicare enrollments, those silly super plant vitamins, car shield etc.
ANYTIME I see a celeb promoting something, I usually go THE OTHER WAY.
 

m3tavision

Posts: 1,018   +849
That unkept kid, will be extradited back to USA and will serve many years in Prison.

Incredibly arrogant & dumb child... had free money and never invested it. Scamming people was easier..
 

hwertz

Posts: 198   +117
A) Too bad for FTX. They really were just a normal crypto exchange, I don't think FTT's (FTX Tokens) were any big part of their business. Essentially they had a bank run.

B) I wonder how good a case they'll have against Larry David. Obviously the anit-endorsement was for humor purposes, but nevertheless it's hard to make the case that he's endorsing anything when he's literally saying "I don't think so" about it.
 

Rq3EWAq

Posts: 133   +136
Who the f* is still buying or holding the rubbish? BTC should hardly be worth anything given all the collapses lately. Instead it really just shows the vast majority of coins are held by a small number of big whale shills who manipulate the market at whim. The rest/retail "investors" are simply the suckers waiting to feed those mouths the next time it bubbles. It's much more corrupt and shameful than even the existing fiat system.

Exchanges, shills, and all third party scammers and players are one thing, which has nothing to do with what Bitcoin stands for.
Educate yourself more. And don't ever hold your money with third parties, if you want your money to be truly YOURS.
Read:
https://medium.com/@jbourneBTC/debunking-all-the-bitcoin-misinformation-one-by-one-54aaa2a20c4
 

lazer

Posts: 453   +139
Because some actor testifies about a product that turns out to be junk, you don't sue the actor. He was paid to make his acting performance.
 

hwertz

Posts: 198   +117
Who the f* is still buying or holding the rubbish? BTC should hardly be worth anything given all the collapses lately. Instead it really just shows the vast majority of coins are held by a small number of big whale shills who manipulate the market at whim. The rest/retail "investors" are simply the suckers waiting to feed those mouths the next time it bubbles. It's much more corrupt and shameful than even the existing fiat system.
Every time the price drops, the "old media" calls it a price collapse and claims it's Bitcoin's (or cryptocurrency in general's) ultimate demise. They don't mention when the price starts going back up, because that doesn't make a good headline.

Don't get me wrong, if I dabbled in crypto at all it would be short-term, making money off the price differences like a currency trader. I have no intention to buy BTC just to sit on them, it's a fantasy to expect further exponential price growth the way people who bought it at $1, $100, or $1000/BTC saw (.... although back when it was under $10,000/BTC I didn't think there was any chance it'd get up to like $50,000/BTC either, so I suppose I could be wrong. I doubt it though, given the huge amount of dollars that'd have to be poured into it to increase the value another 10-fold I just don't see it happening.)
 

Rq3EWAq

Posts: 133   +136
Every time the price drops, the "old media" calls it a price collapse and claims it's Bitcoin's (or cryptocurrency in general's) ultimate demise. They don't mention when the price starts going back up, because that doesn't make a good headline.

Don't get me wrong, if I dabbled in crypto at all it would be short-term, making money off the price differences like a currency trader. I have no intention to buy BTC just to sit on them, it's a fantasy to expect further exponential price growth the way people who bought it at $1, $100, or $1000/BTC saw (.... although back when it was under $10,000/BTC I didn't think there was any chance it'd get up to like $50,000/BTC either, so I suppose I could be wrong. I doubt it though, given the huge amount of dollars that'd have to be poured into it to increase the value another 10-fold I just don't see it happening.)
There is even a website counting and recording each time media outlets are declaring bitcoin dead or failed:
These news outlets don't understand that bitcoin protocol works regardless if it costs 100k, 10k or 1k per coin. To stop and shutdown, you'd have to shutdown the entire internet. Bitcoin has no CEO and no company to sue, it's unstoppable.
And yet, every couple of years, Bitcoin price keep failing... upwards.