Cristiano Ronaldo is under litigation for his promotion of Binance in light of regulatory compliance issues.

Renowned football star Cristiano Ronaldo Ronaldo is embroiled in a lawsuit for endorsing the cryptocurrency exchange Binance.

The lawsuit, presented in a Florida District Court, claims that Ronaldo's endorsement caused financial losses to the plaintiffs: Michael Sizemore, Mikey Vongdara, and Gordon Lewis. Binance’s According to the lawsuit, there were deficiencies in proper anti-money laundering protocols and other regulatory compliance measures.

Having teamed up with Binance in June 2022 to promote his non-fungible token (NFT) collection, Ronaldo is now accused of aiding Binance in the release and sale of unregistered financial securities. The suit suggests that those who subscribed to the NFT collection were likely attracted to the exchange for other activities, which could include purchasing these unregistered securities. NFT The plaintiffs argue that Ronaldo should have been aware of Binance's engagement in activities related to unregistered digital securities. They also mention the SEC's alerts targeting celebrities about the necessity of disclosing their compensation for crypto promotions, which they assert Ronaldo neglected to do.

Broader Consequences for Binance ‘ Services

This lawsuit joins a stream of ongoing challenges that Binance is encountering, including a recent directive to pay nearly $4.3 billion to settle matters with U.S. regulators. It brings to light the dangers faced by celebrities when backing platforms that may not adhere to full compliance standards.

The Philippine SEC has ruled that Binance is not authorized to engage in the sale or distribution of securities, highlighting the platform's ongoing compliance struggles. They have cautioned individuals against engaging with unregulated platforms like Binance, stressing potential criminal repercussions for those who promote or endorse them.

The Philippine SEC Cristiano Ronaldo's lawsuit related to his Binance endorsement emphasizes the increasing scrutiny surrounding celebrity endorsements in the cryptocurrency realm, particularly with respect to adherence to financial regulations. As Binance faces mounting legal and regulatory obstacles, this case serves as a warning to both the crypto sector and its endorsers.

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