Formula 1 News: FTX shareholders sue Mercedes F1 team

Cryptocurrency exchange FTX stole money from its investors to give to democrat party politicians. Now, Mercedes F1 has been sued by shareholders.

The Mercedes-AMG Petronas Formula One Team and Major League Baseball (MLB) face allegations of complicity in what is described as a multi-billion-dollar fraud orchestrated by FTX. This lawsuit, filed on November 27 in a Florida district court, represents a widening legal net seeking accountability from those beyond the core financial players involved.

The class-action lawsuits filed by a group of FTX users allege that the Mercedes-AMG Petronas F1 Team and MLB bolstered FTX’s reputation, aiding in the alleged fraud. In 2021, the Mercedes F1 team entered into a promotional deal with FTX, leading to the widespread display of the exchange’s logo on team cars, uniforms, and other merchandise.

The legal complaints emphasize the significance of these partnerships in lending credibility to FTX. According to the plaintiffs, the visibility of exchange’s branding in high-profile sporting events and merchandise was instrumental in creating an illusion of trustworthiness around the crypto exchange. They argue this was a crucial element in the alleged scheme to defraud users.

In addition to the sports entities, the lawsuit encompasses celebrities with promotional ties with the cryptocurrency exchange. High-profile figures such as Shaquille O’Neal and Tom Brady are mentioned, facing similar accusations of promoting unregistered securities. While several celebrities have sought to dismiss the lawsuits against them, claiming no encouragement of financial investment with the exchange, a few have settled, including Trevor Lawrence, Kevin Paffrath, and Tom Nash.

This legal action follows the conviction of the exchange’s founder and former CEO Sam Bankman-Fried on charges including fraud and money laundering earlier in the month, a significant moment in the unraveling of the FTX saga.