A Florida federal court judge has approved an $11 million settlement between Shaquille O’Neal and Astrals NFT buyers, ending a class-action lawsuit over an alleged promotion of unregistered securities.

lle O'Neal Settles Astrals NFT Class-Action Lawsuit for $11M

A Florida federal court judge has approved an $11 million settlement between Shaquille O’Neal and buyers of Astrals NFTs, putting a close to a class-action lawsuit that stemmed from the alleged promotion of unregistered securities.

According to a court order dated April 8, Judge Federico Moreno granted approval for the deal, which will allocate up to $11 million to eligible buyers and includes $2.9 million in attorney fees.

The case, spearheaded by plaintiff Daniel Harper, encompasses individuals who purchased Astrals NFTs between May 2022 and Jan. 15 or acquired the project’s GLXY tokens within that period.

The lawsuit, initially filed in May 2023, targeted O’Neal for allegedly using his celebrity to promote the Astrals NFT project, a Solana-based collection of 10,000 digital collectibles linked to a virtual world where users could socialize and interact, including with the basketball star.

Throughout the peak of the NFT boom, O’Neal remained engaged with the Astrals community on Discord, famously sharing the "I'm not f***ing leaving" meme to rally holders, a moment also highlighted in court documents.

However, as the market downturn unfolded in 2022 and 2023, the hype surrounding Astrals waned, and O'Neal reportedly distanced himself from the project, leaving many investors feeling flustered and stranded with sharply depreciated assets.

The plaintiffs asserted that they incurred financial losses due to his involvement and public endorsements, which they argued amounted to selling unregistered securities.

O'Neal reached a settlement agreement in November, following several months of legal proceedings. The court had previously recognized last year that the suit presented a viable claim, suggesting that the NBA Hall of Famer was directly selling the tokens.

This isn't the first instance of Shaq facing scrutiny in the crypto domain. He's also part of an ongoing lawsuit connected to his promotional work for FTX, the bankrupt cryptocurrency exchange.

At the time, attorneys encountered difficulties in serving him with court papers for several months before finally reaching him during a Miami Heat playoff game in May 2023, held at the former FTX Arena.