NBA Legend Shaquille O'Neal Agrees to Pay $11 Million Settlement to Resolve Astrals NFT Lawsuit

Hall-of-Famer O'Neal reached the settlement after allegations that he promoted unregistered securities tied to the Astrals non-fungible token

NBA legend Shaquille O’Neal has agreed to pay $11 million in a settlement with the Astrals NFT collection to resolve a lawsuit filed by holders, according to court documents filed on March 8.

The settlement comes after O’Neal was accused of promoting unregistered securities tied to the Astrals non-fungible token project on Solana (SOL). As the collection’s lead celebrity, O’Neal used his fame to attract investment in Astrals NFTs, according to the lawsuit.

The lawsuit is part of a broader legal trend examining the role of pop culture figures in promoting NFT collections during the web3 boom of 2021. However, as the market turned sour in 2022 and 2023, many investors were left holding大幅下落したトークンに不満を募らせていた。

O’Neal notably shared the Wolf of Wall Street “I’m not f***ing leaving” meme on the Astrals Discord, encouraging holders not to sell their tokens, even as bankruptcies like FTX triggered broader declines in virtual currencies and NFT markets. Investors in the Astrals NFT collection eventually banded together to file a class action lawsuit against O’Neal in a Florida district court. Despite his efforts to quash subpoenas and have the case dismissed, the court allowed the claims to proceed.

Miami District Judge Federico Moreno ruled that the Astrals NFTs functioned as securities under the law. The ruling also highlighted O’Neal’s promotion of Galaxy, a decentralized autonomous organization token that was later found to be a scam.

The $11 million settlement now awaits approval from Judge Moreno to become binding. If approved, the funds will be used to compensate investors for their losses and cover legal expenses.

O’Neil is also separately facing a consolidated litigation connected to the bankrupt FTX crypto exchange. A roster of celebrities, including O’Neil and Tom Brady, participated in Super Bowl ads and other promotional deals for FTX.