In a stunning turn of events, former NFL quarterback Tom Brady faces financial turmoil after losing a staggering $30 million in the collapse of cryptocurrency giant FTX.
The now worthless shares were part of Brady’s arrangement with FTX in 2021 when he was still an “ambassador” for the company. His ex-wife, Gisele Bundchen, lost $18 million in worthless stock investments.
Since FTX declared bankruptcy in November last year, Brady has suffered significant financial losses and is facing legal troubles due to the company’s demise.
After divorcing in October, Brady and Bundchen have now been sued by FTX investors seeking money back from celebrity supporters. The case, filed in Florida federal court, names defendants basketball player Shaquille O’Neal and several other individuals who allegedly failed to conduct adequate research before certifying FTX merchandise to the general public.
Including the $48 million in shares owned by Brady and Bundchen, FTX was worth $32 billion when it collapsed. But now that the company is worthless, the celebrity couple and their fellow investors are frustrated.
Seven-time Super Bowl winner Brady lost $45.2 million in earnings from his football salary and endorsements, making him 50th on Forbes’ 2023 list of the world’s highest-paid female athletes.
Other celebrities have lost money in crypto and NFTs
Many well-known people have lost their money due to the unpredictability of cryptocurrency and NFT investments.
YouTube personality Logan Paulfor example, saw an NFT he bought for over half a million dollars drop to just $10.
Similarly, British rapper and YouTuber KSI He suffered a loss of millions of pounds after investing in the LUNA cryptocurrency, which eventually collapsed to near zero.
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After investing over $1 million in two NFTs from Bored Apes Yacht Club, the soccer sensation Neymar Jr. It got into the NFT sector but saw a huge loss in value.
Famous DJ and Record Producer Steve Aoki He saw a significant drop in the value of his NFT collection, with one piece, NFT “Doodles,” dropping from around $346,000 to $42,000.
These individual losses are in addition to the far-reaching effects a class action lawsuit against FTX is likely to have. Moskowitz Law Firm estimates that damages from the case against celebrity supporters like Brady and O’Neal could exceed $5 billion.