Soccer star Cristiano Ronaldo is entangled in a class-action lawsuit in the United States amounting to over $1 billion, involving his association with Binance. Plaintiffs have asserted that Ronaldo endorsed the crypto exchange, leading them to incur financial losses.

According to a report by the BBC, the lawsuit states that Ronaldo's promotional activities influenced individuals to engage in investments that eventually turned out to be unprofitable. The plaintiffs in this matter are seeking compensation surpassing $1 billion.

The "CR7" NFT Collaboration

Ronaldo's collaboration with Binance gained attention in November 2022 when the exchange unveiled its inaugural "CR7" collection of non-fungible Fungible Fungibility is a term that describes how interchangeable a certain asset is with other assets of the same kind.If an asset is fungible, one unit of that asset is interchangeable with another unit of that asset. Of note, fungibility differs from liquidity. A good is said to be liquid if it can be easily exchanged for money or another good. However, a good is fungible if one unit of the good is substantially equivalent to another unit of the same good of the same quality at the same time and place Fungibility is a term that describes how interchangeable a certain asset is with other assets of the same kind.If an asset is fungible, one unit of that asset is interchangeable with another unit of that asset. Of note, fungibility differs from liquidity. A good is said to be liquid if it can be easily exchanged for money or another good. However, a good is fungible if one unit of the good is substantially equivalent to another unit of the same good of the same quality at the same time and place Read this Term tokens (NFTs). This partnership aimed to reward Ronaldo's fans for their unwavering support, using NFTs, which are digital assets representing ownership of online content.

The venture was marketed as a game-changer in the NFT space. Ronaldo expressed intentions to revolutionize football through this collaboration. However, the latest legal dispute has raised questions about the responsibilities associated with celebrity endorsements in the fast-growing cryptocurrency landscape.

Myself and #Binance are giving away 50,000 free surprises!

And one lucky winner will win the golden ticket - a trip to train with me in person.

Head over to #Binance to claim your free CR7 ForeverZone Box

Get involvedhttps://t.co/1cl21YjQeJ pic.twitter.com/DVlzWhbEMH

— Cristiano Ronaldo (@Cristiano) October 11, 2023

Meanwhile, the Former CEO of Binance, Changpeng Zhao (CZ), is facing a monumental legal battle against the US Department of Justice (DoJ) after admitting guilt in violating anti-money laundering laws. Earlier, the DoJ requested that CZ's travel to the UAE be restricted, and the federal court granted the request.

Binance and CZ under Fire

While the DoJ did not push for immediate incarceration, they opposed CZ's departure from the US, citing concerns about a potential flight risk. CZ is facing a possible sentence ranging between 18 months to 10 years. He has resigned as Binance's CEO in a settlement Settlement Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Read this Term with the DoJ, which includes a bond agreement of $175 million.

Simultaneously, Binance faces substantial penalties totaling $4.3 billion after pleading guilty to various charges. The settlement between the exchange and the DoJ includes a deal to exit the US market and has since appointed Richard Teng as the new CEO. The aftermath of the legal tussle has witnessed a significant outflow of Bitcoin reserves from Binance.

The crypto exchange is facing regulatory scrutiny for various violations involving the Bank Secrecy Act and anti-money laundering regulations.