NFTs
Cristiano Ronaldo faces legal setback over ‘CR7’ NFT promotion
Renowned football star Cristiano Ronaldo is facing a legal setback as a US judge recently refused to dismiss a class action lawsuit against him.
The case centers on Ronaldo’s endorsement of Binancethe popular cryptocurrency exchange and its CR7 NFTclaiming that its promotional efforts led investors to make unsafe and costly financial decisions.
The class action, filed in Florida, seeks damages in excess of $1 billion, as the plaintiffs argue that Ronaldo’s promotional activities influenced them to invest in Binance and related NFTs, resulting in substantial financial losses.
Source: Binance
The origin of the process
The process revolves around a partnership announced in November 2022 between Binance and Ronaldo, where Binance launched a collection of NFTs with Ronaldo’s “CR7” branding and his iconic jersey number. The CR7 brand is widely recognized in football circles and Ronaldo has used it for several product endorsements.
Ronaldo promoted Binance NFTs on Instagram several times earlier this year and the lawsuit claims these endorsements encouraged fans to invest in the NFTs and other Binance-related products, leading to expensive and high-risk ventures.
While Ronaldo’s legal team sought to have the lawsuit dismissed, Judge Roy Altman issued a ruling on May 4 rejecting Ronaldo’s motion to dismiss and granted the plaintiffs’ request to stay the lawsuit pending a decision on arbitration.
The judge’s order stated, “We deny without prejudice Defendant’s motion 29 to dismiss,” indicating that Ronaldo may resubmit the motion later.