FTX investors suing the cryptocurrency exchange’s celebrity promoters for allegedly helping to facilitate an $11 billion fraud have some new targets, including Major League Baseball, Formula One racing and Mercedes-Benz Group’s racing team.
Investors’ lawyers sued MLB — the first major sports league to sign a promotional deal with FTX in 2021 — and the other entities in U.S. federal court in Miami on Monday, accusing them of "aiding and abetting and/or actively participating in the FTX Group’s massive, multi-billion-dollar global fraud.” At one point, MLB umpires wore FTX patches on their sleeves.
FTX investors who say they lost at least $11 billion in the exchange's meltdown allege MLB, F1 and the Mercedes F1 racing team helped push the sale of unregulated securities through promotional deals with the cryptocurrency site. Company founder Sam Bankman-Fried was convicted of fraud and conspiracy earlier this month.