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Cristiano Ronaldo Faces US$1 Billion Lawsuit Over Promoting Binance
- Cristiano Ronaldo is being sued for US$1 billion for promoting crypto exchange Binance.
- The lawsuit alleges that Ronaldo was responsible for investors purchasing unregistered securities like Binance Coin (BNB).
- The crypto community has rallied around Ronaldo, pointing out that Binance Global isn’t allowed to serve U.S. citizens.
- The plaintiffs argue that Ronaldo should have disclosed how much he was getting paid as part of the promotion.
Cristiano Ronaldo, one of the most iconic athletes of all time, has become subject of a billion-dollar lawsuit due to his promotion of crypto exchange Binance on social media. The lawsuit comes amid the Securities and Exchange Commission (SEC) tightening restrictions on crypto regulations and Binance reaching a multi-billion-dollar settlement with the U.S. Department of Justice (DOJ).
The filing, made with the Florida District Court, alleges Ronaldo “promoted, assisted in and/or actively participated in the offer and sale of unregistered securities in coordination with Binance”.
The class action lawsuit is based on a social media post made by Ronaldo in November 2022 promoting the release of his new NFT collection, “CR7”. The digital collectibles, made available through the Binance platform, started off with a floor price of US$77 (AU$116) but have since sunk to less than a dollar.
The plaintiffs allege that Ronaldo’s promotions directly correlated with a 500% spike in user activity on Binance, which resulted in investors purchasing unregistered securities and “aiding and abetting Binance’s fraud”.
However, the crypto community has been quick to band around Ronaldo, pointing out the irony of a non-U.S. citizen promoting a platform that isn’t even allowed to serve U.S. citizens. Binance.US, although implicated in the Binance Global debacle, has not faced the same fraud and money laundering charges as the international exchange.
The plaintiffs argue that Ronaldo should have disclosed the promotion, as well as how much he was getting paid as part of his partnership with Binance based on previous comments from SEC Chair Gary Gensler:
Yet another reminder to celebrities: The law requires you to disclose to the public from whom and how much you are getting paid to promote investment in securities.
Gary Gensler 
Author
Ben Knight
Ben Knight is a writer and editor from Melbourne with a passion for all things music and finance. He enjoys turning complex topics – especially the technical details of cryptocurrency – into digestible bites that anybody can understand. He acquired his Master’s in Writing, Editing and Publishing from RMIT in 2019 and has run his own creative writing business ever since.
