Cryptocurrency user group FTX has filed a lawsuit against the Mercedes Formula 1 team, alleging that the company helped facilitate fraud by promoting a cryptocurrency company that is now bankrupt.
The Mercedes F1 team and Major League Baseball (MLB) have been accused of facilitating fraud in promotional transactions involving the FTX cryptocurrency, according to a new lawsuit filed by a group of FTX users. According to Cointelegraph, the plaintiffs filed two class action lawsuits in a Florida court on November 27. They accused the companies of “aiding, aiding and abetting or the global multibillion-dollar fraud of the FTX Group” and promoting unregistered banks. .
Mercedes partnered with FTX in 2021 to introduce cryptocurrency and branding across the group as well as in areas of its cars. The deal was announced as F1 teams signed deals with cryptocurrency companies. That same year, MLB signed a similar agreement, becoming the first professional sports league to require umpires to wear the FTX logo on their uniforms. The class action complaint states, “However, the primary and most important aspect of the connection is the inclusion of the FTX.US patch on all MLB umpires’ uniforms.
The FTX.US patch represented the first time in MLB history, dating back to the 1800s, the sponsor’s logo appeared on the referee’s uniform. Similar complaints were filed against Mercedes, which said the FTX logo was found in popular areas such as automotive, retail and group marketing. Many celebrities are under attack. The same group of FTX users accused a list of celebrities who promoted the exchange, including former sports stars Shaquille O, Neal and Tom Brady, of allegedly promoting illegal funds. Soccer player Cristiano Ronaldo has also been sued, OE24 reports.
Most of the celebrities named in the lawsuit have tried to deny the allegations against them, saying they did not encourage them to give money to FTX, and at least three have pleaded guilty to them. Less than a year after the deal closed, MLB ended its five-year promotional deal with FTX when it filed for bankruptcy in November 2022. Mercedes F1 also ended its contract with FTX that same year and removed its logo from its cars and goods. .
FTX founder and former CEO Sam Bankman-Fried was found guilty a year ago of seven counts of fraud, conspiracy and money laundering.
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