The collapse of cryptocurrency exchange FTX could have financial implications for NFL star Tom Brady. This is because investors are trying to get their money back following the company’s bankruptcy.
said Kevin Paul, a Florida attorney at law firm Hill Ward Henderson. Newsweek The 45-year-old quarterback of the Tampa Bay Buccaneers was so actively involved in promoting cryptocurrency in an ambassador-like role that investors may have cited him as the reason they put money into the exchange in the first place. I have. Brady is therefore partially responsible for their financial losses.
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Brady himself, along with ex-wife Gisele Bündchen, may have taken a financial hit from the FTX collapse, as it is reported that the NFL star may have personally invested in the company.
Paul said Brady could be named in the lawsuit, but he may likely be immune from any influence. There was precedent for cases being dismissed on grounds.
Paule said: Before filing for bankruptcy.
“Tom Brady and other public figures who have publicly endorsed FTX will be involved in both types of lawsuits.
“The first group of lawsuits will be investors who have lost money from FTX, alleging that Tom Brady’s endorsement of FTX caused these losses,” Paule added. “In short, I am skeptical that the plaintiffs in these cases will prevail.”
Paule explains:
“Recently, a federal court in California dismissed a lawsuit against Kim Kardashian and other celebrities over similar issues related to the cryptocurrency Ethereum Max.
“Even if these cases are past the allegation of dismissal stage, it will likely be difficult to establish that these celebrities knew or had knowledge of the ongoing fraud on FTX.
Paul said Brady may not get away unless a lawsuit is filed against him.
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Paule continues:
“One way he or she does this is by filing a lawsuit against the party who received the payment prior to bankruptcy.
“Depending on whether the transfer took place 90 days, one year, or two years before filing for bankruptcy, there are different factors to consider, but the celebrities who received the payment to approve FTX may have some or all You may have to pay these amounts back,” said Paul.
“Similar lawsuits could also be filed against political campaigns, law firms, accountants and others.”
FTX founder Sam Bankman-Fried was expected to remotely attend the House Financial Services Committee hearing on the collapse of the crypto giant, but U.S. prosecutors have filed criminal charges. Later, the 30-year-old was arrested in the Bahamas.
Rep. Maxine Waters, chair of the committee, was upset by Monday’s development, saying, “The timing of this arrest denies the public the opportunity to hear directly from Bankman-Fried while he is being sworn in. I will,’ he said.
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