Finance YouTubers are facing a class action lawsuit in the aftermath of the collapse of FTX.
The lead plaintiff in the case, Edwin Garrison, is a private investor who has already filed separate lawsuits against Sam Bankman-Fried and numerous celebrities that promoted FTX, including Tom Brady, Stephen Curry, Shaquille O'Neal, Larry David, and Kevin O'Leary.
The lawsuit is based on violations of the Federal Trade Commissions guidelines, which require influencers and creators paid to promote products to disclose that the promotion is paid.
- The lawsuit also claims a civil conspiracy between FTC and these YouTubers to mislead consumers "with the false impression that any cryptocurrency assets held on the FTX Platform were safe and were not being invested in unregistered securities."
- The YouTubers deny the claim by stating that it's obvious when a video is sponsored since they declare the paid promotion to YouTube before their videos go live.
