American basketball legend Shaquille O’Neal is facing another lawsuit for promoting the Solana-based crypto project, Astrals. The class action lawsuit was filed by plaintiff Daniel Harper in a Floridan court, claiming that Shaquille promoted the Astrals token through social media posts and videos. Astrals is a 3D-modeled NFT collection founded by Shaq and his son, Mylers O’Neal, which seeks to onboard users into an ecosystem offering gaming and metaverse experiences on the Solana network. The project’s CEO was Brian Bayati, who is Shaq’s music manager, while his son was the head of investor relations.
The lawsuit claims that Astrals tokens are unregistered securities, subjecting them to the Howey test to determine whether they fall under the category of security or an investment contract. If the Astrals tokens fail the Howey test, they will be classified as securities and must be registered with the SEC, making it likely that the SEC will take legal action against Astrals and its executives demanding a settlement.
This is not the first time Shaq has found himself in a crypto-related lawsuit case. Earlier this month, Shaq was involved in a court case regarding the collapsed crypto exchange FTX. Shaq has also been summoned to court regarding his interaction with FTX. The NBA celebrity stated that the notice was inadequate as it was tossed at his moving car and not served at his home.
About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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