Celebrities caught up in Sam Bankman-Fried’s cryptocurrency network

When Sam Bankman-Fried started promoting cryptocurrency exchange FTX in earnest, he reportedly made a list of celebrities who wanted to flog the company. New York Times. High on his list is former NFL quarterback Tom Brady.

Now, Brady is on another list: celebrities being sued for promoting a now-bankrupt business.

Bankman-Fried faces a lengthy prison sentence if convicted of embezzling about $8 billion in client funds before the firm went bankrupt last year. If convicted on all seven counts, the former billionaire faces decades in prison.

On the sidelines of the case, the prodigy convinced a surprising number of celebrities to help facilitate his exchanges—from pop stars to quarterbacks to comedy legends. According to documents filed in the company’s bankruptcy proceedings, FTX lost $4.9 million to Major League Baseball, at least $12.2 million to the Formula One racing team and $3.4 million to the NBA’s Golden State Warriors in an attempt to make its The company is a household name. And this is just the beginning.

Many of these stars are named in class-action lawsuits filed by FTX investors who claim they improperly promoted unlicensed securities. Celebrity has filed a motion to dismiss.

Other stars have not yet been named in any legal action, but their reputations have been tarnished by their ties to the now-defunct startup. The following are VIPs who borrowed their names from FTX and were burned.

The NFL quarterback and his then-wife reportedly signed a “long-term partnership” with the exchange in 2021 after being recruited by FTX executive Sina Nader New York Times.

In a press release about the partnership, calling the couple “global icons,” Brady praised Bankman-Fried and the “revolutionary FTX team” for “continuing to make me see the limitless.” possibility”.

“This special opportunity shows us the importance of educating people about the power of cryptocurrency while giving back to our communities and the planet,” he said.

The pair ran $20 million worth of ads during NFL games in which they recruited acquaintances to join the platform. Brady also filmed TikTok with Bankman-Fried backstage at the 2022 Crypto Bahamas conference, where they teamed up for a presentation titled “Winning.” Bundchen led a talk at the conference on effective altruism, an ethical philosophy espoused by Bankman-Fried.

this era It was previously reported that Brady received $30 million in stock and Bundchen received $18 million in compensation.But Michael Lewis, author of a recent book about FTX, said 60 minutes Brady was paid $55 million “for working 20 hours per year for three years.”

“(Brady) really likes him and he really likes the hope he brings,” he said. “As time went on and he stopped getting a really good explanation for what happened, I think (Brady) was like, ‘He cheated on me. I’m angry. I don’t want anything to do with this anymore.’ ”

Bündchen awning vanity fair The exchange’s failure “caught her off guard.” “I’m no different than anyone else who believes the hype,” she said. “I’m very sorry that this happened and I just pray that justice is served.”

Curry also signed a “long-term partnership” with the company in which he received an equity stake, according to a 2021 press release, which said the NBA superstar will serve as a “global ambassador” and “preach the viability of cryptocurrency” to the world new audience. “

Curry filmed a national ad campaign in which he declared that he was not an “expert” in the cryptocurrency space, but he didn’t have to be. “With FTX, I have everything I need to buy, sell, and trade cryptocurrencies safely,” he said. He also created a series of nearly 3,000 NFTs, accessible via FTX, which sold for $499; proceeds were donated to Curry’s charity, but according to Lewis, he made $35 million by promoting the exchange.

Curry and his team, the Golden State Warriors, are defendants in a class-action lawsuit. The team emblazoned the FTX logo on its home floor and issued NFTs through the exchange, according to the lawsuit.

FTX also paid NBA legend Shaquille O’Neal $750,000 to peddle his services, according to documents in his bankruptcy case. Attorney Adam Moskowitz said O’Neal was also named in the class-action lawsuit, but was not served until May during his broadcast of a Miami Heat playoff game against the Boston Celtics.

Other athletes who have paid to endorse the company include tennis star Naomi Osaka, baseball players David Ortiz and Shohei Ohtani, and Jacksonville Jaguars tight end William Trevor Lawrence, who recently signed for an undisclosed Amount settled.

The comedian became FTX’s most famous face with its 2022 Super Bowl commercial “Don’t Miss Cryptocurrency.” In the two-and-a-half-minute ad, David rejects a series of inventions including the wheel and the toilet, ending with the slogan: “Don’t be like Larry. Don’t miss out on cryptocurrency.” Lewis said David made money from the ad $10 million.

Bankman-Fried’s father is excited about his son’s partnership with the company, Bloomberg reports curb your enthusiasm The star said he requested a role in the commercial and a cameo in a scene about the Founding Fathers.

David is named in the class action lawsuit and his ads are also the subject of a dispute between the SBF defense team and the Department of Justice over what evidence can be presented at trial. He has yet to comment publicly on the proceedings.

The famous power couple was never paid to endorse FTX, but added some luster to the brand.

Bloom and Perry reportedly first met Bankman-Fried at a party hosted by former Hollywood agent turned investor Michael Keeves. New York Times. Perry reportedly performed a song at the party that included lyrics about FTX and posted on Instagram the next day that she would “quit music and become an intern at (FTX).”

Perry and Bloom also attended the Cryptocurrency Bahamas conference hosted by FTX in partnership with Anthony Scaramucci’s networking organization SALT. Tickets for the conference are $3,000 and include oceanfront yoga and performances by Steve Aoki and One Direction star Liam Payne. daily mail. Perry, Bloom, Scaramucci and Bankman-Fried reportedly attended a private candlelight dinner on the first night. Financial Times.

Bloom and Perry are not named in the class action lawsuit, but Keeves, the “supercontact” who introduced them to SBF, is the focus of a separate lawsuit.according to eraKeeves later introduced Bankman-Fried to other powerful figures such as BlackRock CEO Larry Fink, and Bankman-Fried invested seven dollars in his venture capital firm. One hundred million U.S. dollars. FTX’s bankruptcy lawyers are now trying to recoup the huge sum of money, claiming that Bankman-Fried’s investment was not for the benefit of the company but to “increase his political and social influence.”

A spokesman for investment firm K5 previously told Reuters the lawsuit had “no legal basis.”

“K5, like many other companies, was under the impression that SBF was fully legal and that they were entering into a fair, long-term and mutually beneficial business relationship,” the spokesperson said. The company filed a motion to dismiss, but a judge has not yet ruled on that.

The former president is another high-profile connection former Clinton aide Keeves established for Bankman-Fried. Clinton attended a panel discussion in the Cryptocurrency Bahamas with none other than former British Prime Minister Tony Blair.

according to daily mail, Clinton and Blair appeared on stage with the SBF for a speech titled “Today’s World,” in which Clinton said cryptocurrencies are “obviously serious” and advocated for greater regulation. Meanwhile, Blair reportedly joked that he felt “overdressed” compared to Bankman Fried, who was wearing shorts.

according to new york postClinton received about $250,000 for the event and later invited Bankman-Fried to speak at the annual Clinton Global Initiative, although he never actually took the stage.

Bankman-Fried has also donated tens of millions of dollars to political candidates and public officials, both personally and through his political action committee, Protect Our Future. The donations came under scrutiny after Bankman-Fried was accused of running a “straw donor” scheme that funneled money to candidates in other people’s names. (The campaign finance charge was later eliminated.)

In the wake of Bankman-Fried’s charges, politicians including Senators Dick Durbin and Kirsten Gillibrand, as well as the Democratic National Committee, Democratic Senatorial Campaign Committee and Democratic Congressional Campaign Committee Return donations. The White House declined to respond to questions about Bankman-Fried’s donations, including to Biden’s presidential campaign.