Welcome to CryptoGod-1's blog on all things crypto. In this post I will be looking at the recent decision of a judge to dismiss Cristiano Ronaldo's motion to dismiss a NFT lawsuit against him.
Ronaldo BINANCE NFT's
The global soccer icon Cristiano Ronaldo has faced a legal setback as a U.S. judge recently denied his claim to dismiss a class action lawsuit against him. The case is a $1 billion class action lawsuit against Ronaldo, and his motion to dismiss was denied on the 4th of May 2024. The lawsuit concerns his promotion of non-fungible tokens (NFTs) on the cryptocurrency exchange Binance. The case alleges that Ronaldo's promotional efforts led investors to make unsafe and costly financial decisions.
The lawsuit was filed in Florida and is looking for damages exceeding $1 billion as plaintiffs argue that Ronaldo’s promotional activities influenced them to invest in Binance along with the related NFT called 'CR7', which in turn led them to suffer substantial financial losses.
The Portuguese football icon had attempted to dismiss the case but Judge Roy Altman decided to stay the proceedings pending a decision on the motion to compel arbitration. This is the latest set-back for Ronaldo, who has been accused of supporting Binance through various social media promotions. The judge noted:
“We deny without prejudice the Defendant’s 29 motion to dismiss.”
In promotional videos and social media posts, Ronaldo touted Binance as an NFT game changer and encouraged fans to join his “NFT journey.” The plaintiffs noted that Ronaldo’s recommendations were deceptive and did not disclose the risks of investing in cryptocurrency. With the decision to stay proceedings pending arbitration adding further uncertainty to the case, Ronaldo will have to wait and see if this does lead to arbitration. This would involve a third party reviewing the case and making a binding decision that may affect the outcome of the lawsuit.
Among the difficulties Ronaldo faces while navigating the complexities of the legal system will include the plaintiffs argument that Ronaldo’s promotional efforts sent Google searches for the keyword “Binance” up 500% after the partnership was announced. The premium versions of his NFTs sold out within one week of their launch.
Back in March Ronaldo included a video as part of his promotional activities, and within he played football with another athlete. This was sponsored by the exchange and Ronaldo also noted he “Had an amazing time with @binance, creating the next level of fan experience,” in a post back in January following the sales of his NFT Collection.
Ronaldo has not yet publicly commented on the ongoing dispute, but the case is currently on hold pending further developments as both Ronaldo and Binance await the next steps in the high-profile sports and cryptocurrency legal battle. With investors having began this legal dispute back in November 2023, one year after the athlete launched the NFT collection in collaboration with Binance, Ronaldo now faces the difficult task of defending his actions.
With Ethereum-based NFT minting and trading volumes having fallen alongside their floor prices playing a major role in the investor losing money, attention will now turn to Binance's ongoing battle against U.S. regulators in court as to whether the NFTs and tokens on its platform constitute investment contracts under U.S. securities law.
Have a great day.
CryptoGod-1.
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