Stephen Curry and the Golden State Warriors are in a bit of trouble. The NBA banked heavily on the popularity of crypto-currencies, with many major crypto names becoming sponsors around the league. The iconic STAPLES Center was renamed the Crypto.com arena. Up until last week, the Miami Heat were playing home games in the FTX Arena until FTX went bankrupt and the sponsorship agreement with the arena became moot.
A lot of shady business practices are being alleged against FTX and its founder, Sam Bankman-Fried. As a result, Steph Curry and the Warriors have fallen into a pickle as they endorsed the crypto exchange and are now being sued for doing so.
JUST IN: Tom Brady, Steph Curry, Golden State Warriors, and other high-profile celebrities sued for endorsing FTX.
— Watcher.Guru (@WatcherGuru) November 16, 2022
The lawsuit takes a hit against a slew of celebrities and athletes who played their part in the promotion of FTX. Some of these celebrities include Tom Brady, Stephen Curry, former NBA star Shaquille O’Neal, Gisele Bündchen, Kevin O’Leary, and even the Golden State Warriors.
“FTX’s business was based upon false representations and deceptive conduct. Although many incriminating FTX emails and texts have already been destroyed, we located them and they are evidence of how FTX’s fraudulent scheme was designed to take advantage of unsophisticated investors from across the country…,” states the lawsuit. (h/t Watcher.Guru)
Many celebrities have endorsed brands with murky ethical lines but haven’t faced major repercussions for it. If Curry and the Warriors were in the dark about FTX’s business dealings, they will most likely get pardoned for what happened.
Crypto-Currency In The NBA
The aggressiveness with which crypto exchanges decided to make major advertisements through sports definitely helped their popularity and legitimacy grow across the world.
The Warriors were probably one of the most crypto-forward teams, along with the likes of the Dallas Mavericks. Players on the Warriors like Klay Thompson and Andre Iguodala took portions of their salary in crypto, the value of which has fallen by nearly 75% since.
While there is an ethical way to run a crypto exchange and also sponsor sports events, FTX didn’t manage to pull that off with their actions and has now created a real headache for the Warriors and their longtime superstar.
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