Justin Bieber, Paris Hilton and Madonna sued for Bored Apes NFT Promotion

The Bored Ape Yacht Club NFT collection was just about the hottest item you could have in the world of crypto at the beginning of this year. Celebrities participated and promoted the trade in order to increase the value of their own collection. Singer Justin Bieber bought an NFT of the Bored Apes collection for a good $1.25 million in January.

Bieber’s monkey, number 3001 in the collection, is currently valued at a good $69,000. That’s a pretty dramatic drop, of about 95%, but we don’t think the singer will go bankrupt just yet.

Insidious marketing

A group of Americans from the states of California and Florida followed Bieber’s example and also bought Bored Ape NFTs. Just like him, they have seen their purchase fall in value by a similar percentage.

Jimmy Fallon, Gwyneth Paltrow, Justin Bieber, and other celebrities are being sued for endorsing NFTs and misleading their followers with undisclosed payments from Bored Ape: https://t.co/IQPDCsyx0k pic.twitter.com/w6Dwqz2Npw

— Ryan Brown 🎮 (@Toadsanime) December 10, 2022

Unlike Bieber probably, that loss is quite significant for them. They have therefore engaged a law firm and have now filed a class action lawsuit against Yuga Labs, which promoted the Bored Ape NFT collection, as well as the many celebrities who considered it a so-called ‘good investment’. Justin Bieber, the Weeknd, Steph Curry, Paris Hilton, Kevin Hart, Jimmy Fallon and Gwyneth Paltrow were all subpoenaed.

The truth is that the Company’s entire business model relies on using insidious marketing and promotional activities from A-list celebrities that are highly compensated (without disclosing such), to increase demand of the Yuga securities by convincing potential retail investors that the price of these digital assets would appreciate.

Reads the complaint.

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