The collapse of cryptocurrency exchange FTX has dealt a devastating blow to the investment portfolio of renowned NFL quarterback Tom Brady, leaving him with severe financial losses. As an ambassador for FTX, Brady played a prominent role in the company’s commercials, endorsing their cryptocurrency offerings. However, the recent turn of events has left him reeling from the unexpected downfall of the exchange.
According to a report by The New York Times, Brady had entered into a lucrative agreement with FTX, which included a substantial payment of $30 million. The majority of this compensation was in the form of FTX stock, an investment opportunity that carried both risks and potential rewards. Unfortunately, the collapse of FTX has shattered Brady’s hopes of reaping the benefits of this investment.
Compounding the situation, Brady’s former spouse and supermodel, Gisele Bündchen, also received a significant sum of $18 million worth of FTX stock as part of the agreement. The couple’s financial prospects took an unexpected turn when FTX filed for bankruptcy in November, leaving their investments in a precarious state.
Tom Brady’s Urgent Call Exposes Gravity of FTX Crisis
The urgency and gravity of the situation were evident when Brady reportedly made an urgent phone call to Sina Nader, FTX’s head of partnerships. Nader confessed to The New York Times, “I never would have expected to decline a call from Tom Brady.” However, at the time, Nader was preoccupied with a crisis meeting alongside FTX founder Sam Bankman-Fried and other key personnel. Nevertheless, Nader promptly returned Brady’s call, acknowledging the quarterback’s deep concerns regarding the unfolding events surrounding FTX.
The partnership between FTX and several sports leagues and prominent athletes, including Brady and Bündchen, has now turned into a catastrophic affair. Beyond mere endorsements, the couple was featured in a massive $20 million advertising campaign, publicly expressing their unwavering support for the company. Their close connection to FTX was further highlighted through Brady’s TikTok videos, which showcased him alongside FTX founder Sam Bankman-Fried at the company’s luxurious headquarters in the Bahamas. However, these once-promising connections have now unraveled, plunging both the athletes and the cryptocurrency company into a deep crisis.
In the latest turn of events, investors have initiated a class-action lawsuit against Bankman-Fried, seeking accountability for the financial losses incurred due to the collapse of the crypto empire. The lawsuit includes not only Brady and Bündchen but also other prominent sports figures, such as Shaquille O’Neal, Stephen Curry, Trevor Lawrence, Naomi Osaka, David Ortiz, and Shohei Ohtani, as defendants. These athletes are now facing the legal consequences of their association with FTX.
The collapse of FTX has not only affected the athletes but has also taken a toll on Bankman-Fried. His net worth has plummeted from an impressive $30 billion to a mere $4 million in the aftermath of the collapse. Moreover, he now faces federal fraud charges, further compounding his already dire situation.
The FTX collapse serves as a stark reminder of the volatility and risks associated with the cryptocurrency market. As prominent figures like Tom Brady and Gisele Bündchen grapple with the fallout of their investments, it underscores the need for cautious consideration and due diligence when entering the world of cryptocurrencies.