Professional footballer Cristiano Ronaldo has been sued in the United States for allegedly promoting unregistered securities in collaboration with Binance. It is claimed that Ronaldo’s promotion of investments in NFTs connected to Binance directed people towards unregistered securities.
Ronaldo is accused of promoting the marketing and sales of unregistered securities through his partnership with Binance. The lawsuit filed in Florida alleges that Ronaldo led his millions of followers to invest on the Binance platform.
It is emphasized that Ronaldo’s 850 million social media followers increased Binance’s popularity and that searches related to Binance on search engines surged by 500% after his first NFT sale. Furthermore, it is argued that Ronaldo, given his investment experience and sufficient resources to obtain advice, should have known or been aware of Binance’s situation selling unregistered crypto securities.
Ronaldo is said to have been required to disclose the payments he received for promoting cryptocurrencies, but he failed to do so, referencing guidelines from the U.S. Securities and Exchange Commission (SEC).
Information is shared that Binance and its founder Changpeng Zhao, amidst ongoing legal battles in the US, have admitted to allegations of violating anti-money laundering laws and making unregistered money transfers, reaching a settlement with the U.S. Department of Justice (DoJ), the U.S. Treasury Department, and federal regulators. Binance agreed to pay the US government $4.3 billion as part of the settlement, and Zhao resigned from his CEO position, facing up to 18 months in prison. Additionally, it is reported that Binance’s compliance with laws will be monitored and controlled by the DoJ and the U.S. Treasury Department for a period of five years.