- Gronkowski, Oladipo, and Cassill to pay $2.4 million in Voyager lawsuit.
- The settlement underscores regulatory challenges and investor protection concerns.
In a surprising crossover of sports and finance, Rob Gronkowski, a retired football star, Victor Oladipo, an NBA player, and Landon Cassill, a NASCAR driver, find themselves at the center of a legal settlement.
The case involves allegations linked to the promotion of the failed cryptocurrency exchange Voyager Digital Holdings Inc.
Who’s to be blamed?
According to a court document, the trio has collectively agreed to pay $2.4 million to settle the claims, with Gronkowski taking up the largest share of $1.9 million. The statement added,
“All settling defendants have to provide collectively $2,425,000 in monetary relief.”
The settlement, achieved without admission or denial of the allegations, has sparked discussions within both the sports and cryptocurrency communities.
It covers U.S. individuals who joined Voyager Earn or bought VGX Tokens from the 23rd of October, 2019.
In response to the aforementioned allegations, Adam Moskowitz of The Moskowitz Law Firm, representing the investors, stated to Law360 on the 7th of May that the settlements primarily stem from the athletes’ desire to assist their fans.
He said,
“Gronk had a sincere empathy for all of his fans, even though he lost money with Voyager as well. It is no surprise he continues to be such a trusted and respected spokesperson.”
Praising the U.S. District Judge Roy K. Altman, Moskowitz added,
“We also are grateful to [U.S. District Judge Roy K. Altman], who has carefully presided over our litigation, and we are hopeful to reach additional settlements with other defendants in the future.”
The real culprit
Though Gronkowski, Oladipo, and Cassill are defendants, the lawsuit also targets Dallas Mavericks owner Mark Cuban. Investors allege deception in buying unregistered securities with false promises of profits.
Related lawsuits against the NBA, McCarter & English, and Ketchum Inc. have also been merged into the main case.
Moreover, Voyager’s Chapter 11 filing in July 2022, amidst financial turmoil and unsuccessful sale attempts to FTX and Binance [BN] US, has added complexity to this legal situation.
As investors navigate these complexities with legal representation, the outcome of this litigation will undoubtedly shape the trajectory of cryptocurrency regulation and investor protection.
