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Crypto influencers sued for $1 billion

Influencers face a lawsuit over alleged crypto fraud related to FTX.

By Mike Hesp
• 2 min read
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Crypto influencers sued for $1 billion

Influencers face a lawsuit over alleged crypto fraud related to FTX.

The U.S. attorney Edwin Garrison sues eight YouTubers and an agency as well as their CEOs for $1 billion for allegedly promoting the bankrupt crypto exchange FTX on the video platform.

The documents describe the defendants as "influencers" who "present themselves as real consumers sharing authentic and valuable information with their followers."

Furthermore, it is alleged that the plaintiffs suffered damages as a result of purchasing an "unregistered security." It is claimed that the defendants promoted for their own financial gain and/or for FTX's benefit.

Specifically, it concerns the Yield Bearing Accounts (YBA) offered by the bankrupt exchange, where customers could earn returns on cryptocurrencies and fiat deposits. Garrison has already appeared as the prosecutor against prominent FTX advertisers. These include Tom Brady, Gisele Bündchen and Steph Curry.

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