Shaquille O’Neal settles FTX lawsuit with undisclosed terms

Shaquille O’Neal has reached a settlement with investors involved in a lawsuit over losses tied to the collapse of the cryptocurrency exchange FTX (CRYPTO:FTT), according to court filings dated April 23, 2025, in the US District Court for the Southern District of Florida.

The settlement amount remains confidential, with details expected to be revealed once investors formally seek preliminary court approval, as stated in the court documents.

O’Neal was among several celebrities and athletes accused of promoting FTX, which filed for bankruptcy, leading to significant investor losses.

This case is part of a larger multidistrict litigation where investors are pursuing up to $21 billion in damages from FTX insiders, advisers, and promoters, a figure that exceeds the $9.2 billion available through bankruptcy proceedings.

Other public figures named in related lawsuits include NFL quarterback Tom Brady, supermodel Gisele Bündchen, investor Kevin O’Leary, former NBA player Udonis Haslem, David Ortiz, and Naomi Osaka.

Legal teams reported difficulties serving O’Neal with court papers early in the lawsuit, describing him as “running from the lawsuit” after multiple failed attempts to deliver documents.

Efforts to serve him included attempts during NBA games and at his residences, reflecting the challenges faced by plaintiffs’ lawyers in reaching the former NBA star.

Separately, O’Neal recently agreed to pay $11 million to settle a class-action lawsuit connected to his promotion of the Solana-based Astrals NFT project.

The Astrals case involved allegations that the NFTs O’Neal promoted were unregistered securities.

In May 2023, O’Neal was served with the lawsuit during an NBA game at Miami’s Kaseya Center, formerly known as the FTX Arena.

A Miami federal judge ruled in August 2024 that O’Neal must defend certain claims in the Astrals case.

Astrals is a Solana-based (CRYPTO:SOL) initiative featuring 10,000 NFTs, a metaverse called Astralworld, and a decentralised autonomous organisation with a governance token named Galaxy.

At the time of reporting, the FTX (FTT) price was $0.9757.