The Golden State Warriors have been focused on getting things back in order on the court. Now, they might have to go to it after being sued by a fan for $750,000. An FTX account holder filed a class action lawsuit against the Warriors in what is another chapter of the chaotic crypto currency saga that puts the company in yet another hole.
The person suing the Warriors is claiming the organization fraudulently promoted FTX, which is now bankrupt. Among those who are listed as defendants are Sam Bankman-Fried, the founder of FTX, and Caroline Ellison, who led Bankman-Fried's trading firm Alameda Research.
The Warriors made FTX its official cryptocurrency platform last December. It was the first cryptocurrency partnership in professional sports and warmly embraced FTX after the two's agreement was announced.
“Cryptocurrency has a well-established worldwide community and is going to continue to be a major part of the sports, media and entertainment industries,” Warriors President and Chief Operating Officer Brandon Schneider said at the time. “In our conversations with FTX, we quickly realized our joint desire to innovate around cryptocurrency integration and adoption, including the role NFTs play in global fan engagement.”
The team stopped promoting FTX last week after the news came out about the company's current financial state. The Miami Heat also dropped FTX and is now looking for a new sponsor to buy the naming rights to its arena. Warriors star Stephen Curry has also been in the news due to his and other celebrities connection with FTX.
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“Through our partnership with Stephen Curry, we were introduced to the Warriors organization, and we are excited to partner with a franchise that aligns with our core values,” FTX US President Brett Harrison said when the Warriors' partnership was announced. “The FTX US NFT Platform will provide a leading, safe and secure venue for the Warriors international fan base to access exclusive collectables from the franchise. Alongside the NFT drops, working with the Warriors will increase our ability to create a positive change, not only domestically but internationally, with one of the most prestigious professional sport franchises in the world.”