Shaquille O’Neal just settled a class action lawsuit for $1.8 million over his misleading FTX endorsements—ironically paying out more than double the $750,000 he earned promoting the now-collapsed crypto exchange. The NBA legend was dubbed “Shaqtoshi” in FTX’s marketing campaigns, helping lure investors into what became one of crypto’s biggest fraud cases. Founder Sam Bankman-Fried got 25 years in prison while investors lost billions. O’Neal’s expensive lesson reveals just how costly celebrity crypto promotions can become.
When you’re a legendary NBA center worth hundreds of millions, a $1.8 million settlement might feel like pocket change.
But for Shaquille O’Neal, this payout represents the costly aftermath of his involvement in one of crypto’s biggest disasters.
This settlement marks an expensive lesson in the dangerous intersection of celebrity influence and cryptocurrency’s volatile landscape.
O’Neal just settled a class action lawsuit over his role promoting FTX, the cryptocurrency exchange that spectacularly imploded in 2022.
The settlement resolves claims that his endorsements misled investors who later lost their shirts when the platform collapsed.
The irony? O’Neal pocketed around $750,000 to promote FTX.
Now he’s paying out more than double that amount to make the legal headache disappear. Talk about a bad return on investment.
Shaq wasn’t just any spokesperson. He was branded as “Shaqtoshi” in FTX’s “I Am All In” campaign, appearing in commercials and live events that convinced people to trust the platform with their money.
The promotional blitz worked. Investors cited these celebrity endorsements as factors in their decision to buy in.
Here’s the kicker: O’Neal later claimed he had limited knowledge of cryptocurrency. So much for being “all in.”
The legal filing reveals O’Neal avoided admitting any wrongdoing, which is standard in these settlements.
Other celebrities like Tom Brady and Steph Curry managed to get their cases dismissed earlier, but procedural issues kept O’Neal in the hot seat longer.
Meanwhile, FTX’s collapse revealed one of the largest fraud cases in crypto history.
Founder Sam Bankman-Fried got slapped with a 25-year prison sentence after investigations uncovered widespread misuse of customer funds.
The exchange filed for bankruptcy, leaving investors scrambling for scraps.
FTX recently began repaying creditors, disbursing $1.2 billion to those with smaller claims in February 2025.
A second round targeting over $5 billion is planned for mid-2025, though bankruptcy complications continue causing delays. Under the settlement terms, O’Neal must pay the full amount within 30 days as ordered by the Miami federal court.
The collapse highlighted ongoing concerns about market volatility in cryptocurrency, with Bitcoin’s dramatic price swings masking serious underlying issues.
For O’Neal, this settlement might be seen as getting off easy.
Other celebrities still facing litigation could face much steeper damages. Reports suggest Bankman-Fried may be eligible for early release despite his lengthy sentence.
The whole mess serves as a costly reminder that celebrity endorsements in the wild west of crypto come with serious risks.
