Shaquille O’Neal Reaches $11M Settlement in Astrals NFT Lawsuit

The lawsuit, filed in May 2023, accused O’Neal of misleading investors by promoting Astrals NFTs without revealing his financial ties. This lawsuit is part of the legal attention around celebrity crypto endorsements.

The settlement covers buyers of Astrals NFTs from March 2022 to June 2023 and was approved by Judge Moreno.

O’Neal and his son launched Astrals in 2022, featuring 10,000 3D metaverse-ready avatars.

Under the deal, O’Neal and the other defendants do not admit any wrongdoing. The settlement is described as a “compromise” to avoid the costs and uncertainties of continuing the lawsuit.

The court’s approval of the settlement brings an end to a long legal battle for O’Neal, who had previously been difficult to serve with legal papers, causing delays in the case.

The Astrals NFT lawsuit is part of a larger wave of legal actions targeting NFTs and their promoters, driven by regulatory ambiguity and investor losses. 

Earlier, in March 2025, DraftKings, a major sports betting platform, settled a class-action lawsuit for $10M. The lawsuit alleged that DraftKings unlawfully sold NFTs on its DK Marketplace, claiming these NFTs were unregistered securities. Additionally, the platform was accused of operating the marketplace as an unregistered securities exchange.

These legal cases reflect the growing attention on the NFT space and the potential risks tied to celebrity endorsements and unregulated platforms. As regulations continue to develop, both investors and promoters will need to stay informed to navigate any future legal challenges.

Related: Top 5 Celebrity Crypto Projects That Failed