Judge Denies Cristiano Ronaldo’s Motion To Dismiss NFT Lawsuit

cryptonews.com:

Football superstar Christiano Ronaldo was denied on May 4 his motion to dismiss a $1 billion class action lawsuit concerning his promotion of non-fungible tokens (NFTs) on Binance.

According to Newsweek, Judge Roy Altman issued his ruling, stating, “We deny without prejudice the Defendant’s 29 motion to dismiss.”

“Accordingly, we direct the Clerk of Court to close and stay this case until we have adjudicated the pending motions to compel arbitration in the related action,” the judge added. Arbitration is a private form of dispute resolution in which a final decision on the case is left to a neutral, mutually accepted third party rather than going to court.

Investors sued Ronaldo in November 2023, one year after the athlete launched an NFT collection called “CR7” in November 2022 in collaboration with Binance.

The collection’s name represents Ronaldo’s Initials and shirt number, which he often uses to brand his products. It features digital collectibles of himself and moments from his sports career and purports to stand for “innovation, artistry, and the unparalleled thrill of fan engagement,” according to Binance’s website.

Prosecutors alleged last year that his promotion of those NFTs was “deceptive and unlawful,” however, leading them to costly and unsafe investment decisions. Since early 2022, Ethereum-based NFT mints and trading volume have dropped alongside floor prices.

Some of Ronaldo’s promotional activities included posts on his Instagram account, including one in March where he played foosball with another athlete sponsored by the exchange.

“Had an amazing time with @binance, creating the next level of fan experience,” he wrote in January. “Thanks to my ForeverCR7 NFT collection, I got to meet and train with the