Shaquille O’Neal Reaches Class Settlement in FTX Litigation (2)

Shaquille O’Neal and people who say they lost money in the collapse of FTX have reached a classwide settlement, according to a federal court filing Wednesday.

The amount of the proposed deal isn’t public yet, the parties told the US District Court for the Southern District of Florida. The terms will be revealed when the investors formally ask the court for preliminary approval of the accord, the parties say.

The retired National Basketball Association star-turned-businessman is among numerous sports figures and celebrities sued as promoters for allegedly enabling the cryptocurrency exchange to engage in fraud.

Investors who bought crypto assets through FTX also sued insiders at the now-bankrupt exchange, third-party advisers, and others in proposed class actions now consolidated in multidistrict litigation. They’re seeking damages of about $21 billion beyond the estimated $9.2 billion available in bankruptcy court, according to documents filed when the parties sought to streamline competing claims in the two courts.

O’Neal recently obtained final federal court approval for his $11 million class settlement with purchasers of his Astrals and Galaxy nonfungible tokens.

The Moskowitz Law Firm is co-lead counsel for the class. Attorneys for O’Neal include Brown Rudnick LLP.

The case is In re FTX Cryptocurrency Exchange Collapse Litig., S.D. Fla., No. 1:23-md-03076, notice 4/23/25.