NBA Legend Shaquille O'Neal to pay investors of Astral NFT $11 million

NBA player and sports commentator Shaquille O’Neal has reached a settlement with investors from his own project, Astral NFT and Galaxy tokens, agreeing to pay them $11 million. This was reported by the portal HappyCoinNews.

The mentioned amount will cover the plaintiff's attorney fees and compensate holders of the digital assets. This involves the Astral NFT project, which was launched two years ago and featured 10,000 non-fungible tokens created by digital artist Damien Gimo.

The athlete actively promoted the project, attracting investors; however, by 2023, the value of the NFTs significantly declined, leading asset holders to incur substantial losses. In September 2023, they filed a class-action lawsuit against O’Neal, accusing him of promoting and advertising unregistered securities on social media.

Notably, the settlement between the Astral NFT investors and the NBA legend was signed amid a recovery in trading volumes for non-fungible tokens. Over the past week, NFT sales have surged by 94% to $181 million.