In the world of cryptocurrencies, where innovation and excitement often go hand in hand with risk and uncertainty, new legal issues are emerging. Recent developments point to Cristiano Ronaldo, a soccer superstar, who has been sued for promoting the Binance platform and encouraging investments in unsettled securities. This case sheds light on the growing interest in cryptocurrency regulations and their impact on popular public figures.
Cristiano Ronaldo, one of the most recognizable figures in the world of sports, has found himself at the center of a controversy related to the cryptocurrency market. The controversy revolves around his promotional activities for Binance, one of the leading cryptocurrency exchange platforms, and its associated digital assets, especially NFTs (non-fungible tokens).
Ronaldo, who entered into a long-term partnership with Binance in mid-2022, is said to have promoted his own NFT collections closely associated with the platform. In a lawsuit filed in a Florida court, he is accused of “promoting, supporting, and/or actively participating in the offer and sale of unsettled securities in coordination with Binance.”
The plaintiffs claim that Ronaldo’s actions contributed to the rise in popularity of Binance, and his influence and reach on social media – estimated at 850 million followers – had a significant impact on the success of NFT sales. A 500-percent increase in interest in Binance was observed following his promotion.
The lawsuit emphasizes that Ronaldo should have been aware or ought to have known about Binance’s sale of unsettled securities. This points to Ronaldo’s investment experience and access to external advisors. The plaintiffs accuse the soccer player of not disclosing payments received for promoting cryptocurrencies, in line with the guidelines of the Securities and Exchange Commission (SEC) in the USA.
As is known, Binance and its founder Changpeng “CZ” Zhao are currently facing their own legal troubles. Zhao has stepped down as CEO and could face up to 18 months in prison. Binance has agreed to a five-year compliance monitoring by the US Department of Justice and Treasury Department.
The SEC has also filed a lawsuit against Binance, alleging, among other things, the sale of unsettled securities and investigating possible improper use of client funds by the platform.
This case is becoming a milestone in shaping the future of cryptocurrency market regulations and the role that celebrities can play in this process. The effects of this case may be felt not only in the cryptocurrency industry but also in the way celebrities engage in promoting various financial ventures.
Cristiano Ronaldo, a symbol of sporting genius, now faces a challenge from a completely different field – law and finance. His case may prove to be a turning point in the discussion about responsibility and transparency in the rapidly evolving cryptocurrency market.
Photo. Binance
