Several YouTubers are facing a class action lawsuit for “actively promoting” the collapsed FTX crypto exchange. This is reported The Block.
Defendants include lawyer Erica Kullberg, Ben Armstrong (also known as BitBoy), and Meet Kevin channel owner Kevin Paffrath. The document notes that FTX “generously” paid influencers who did not disclose the nature of the relationship with the exchange.
According to the lawsuit, some of them “purged their YouTube channels of all videos supporting the exchange and praising Sam Bankman-Freed.”
“Yes, I used to be sponsored by FTX. I think it is a shame. And it’s a scar for me. People have been hurt by FTX and that’s bad,” Paffrat said in one of his videos, according to the complaint.
Claimants from different countries participate in the proceedings. They are represented by lawyer Adam Moskowitz of the law firm Moskowitz.
In September 2022, Moskowitz filed a civil lawsuit against Mark Cuban for promoting unregulated Voyager crypto products and participating in a Ponzi scheme with its CEO Stephen Ehrlich.
Recall that in March 2023, Sam Bankman-Fried announced his desire to use management liability insurance to pay lawyer bills.
Previously, experts estimated the costs of legal support for the company’s bankruptcy at $20 million.
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Several YouTubers are facing a class action lawsuit for “actively promoting” the collapsed FTX crypto exchange. This is reported The Block.
Defendants include lawyer Erica Kullberg, Ben Armstrong (also known as BitBoy), and Meet Kevin channel owner Kevin Paffrath. The document notes that FTX “generously” paid influencers who did not disclose the nature of the relationship with the exchange.
According to the lawsuit, some of them “purged their YouTube channels of all videos supporting the exchange and praising Sam Bankman-Freed.”
“Yes, I used to be sponsored by FTX. I think it is a shame. And it’s a scar for me. People have been hurt by FTX and that’s bad,” Paffrat said in one of his videos, according to the complaint.
Claimants from different countries participate in the proceedings. They are represented by lawyer Adam Moskowitz of the law firm Moskowitz.
In September 2022, Moskowitz filed a civil lawsuit against Mark Cuban for promoting unregulated Voyager crypto products and participating in a Ponzi scheme with its CEO Stephen Ehrlich.
Recall that in March 2023, Sam Bankman-Fried announced his desire to use management liability insurance to pay lawyer bills.
Previously, experts estimated the costs of legal support for the company’s bankruptcy at $20 million.
Found a mistake in the text? Select it and press CTRL+ENTER
Cryplogger Newsletters: Keep your finger on the pulse of the bitcoin industry!
