Astrals NFT Lawsuit Ends with $11M Payout from Shaquille O’Neal

Former NBA legend Shaquille O’Neal has received final court approval to settle a class-action lawsuit for $11 million with investors in the now-defunct Astrals NFT (non-fungible token) project. 

The settlement was granted by Florida federal judge Federico Moreno in an April 1 order that became public on April 8.

The approved deal will establish a compensation fund for eligible buyers of Astrals NFTs and the project’s native GLXY token. Judge Moreno also awarded $2.9 million in legal fees, which plaintiffs deemed fair and reasonable.

Also read: Exploring the Top NFT Marketplaces Today

The settlement covers all individuals who purchased Astrals NFTs between May 2022 and Jan. 15, 2024, as well as those who bought GLXY tokens during that same window. 

These participants will be entitled to a portion of the $11 million fund, depending on the number of valid claims submitted.

Origins of the Astral NFT Case: From Promotion to Litigation

O’Neal was first hit with the lawsuit in May 2023. Plaintiffs claimed he was not only the face of the Astrals project but also its founder and active promoter. They alleged that his involvement led them to invest in what they later described as the “offer and sale of unregistered securities.”

In August 2024, Judge Moreno acknowledged that the plaintiffs had sufficiently alleged that O’Neal acted as a seller of the NFTs. The case gained traction as concerns around celebrity-endorsed crypto projects continued to mount. O’Neal eventually agreed to the settlement in November 2024.

Also read: Sell NFTs Successfully: Everything You Need To Know

The Astrals NFT collection launched in April 2022 with 10,000 unique 3D avatars created by artist Damien Guimoneau. Positioned as part of a Solana-based virtual universe, the project was heavily marketed as a social and gaming experience that included O’Neal as a central figure.

Astrals NFT collection

Astrals NFT collection (Source: Solanart)

Despite early hype, the project has gone dormant. According to data from OpenSea, the Astrals NFTs haven’t recorded any meaningful activity or sales for nearly two years, making it yet another casualty of the NFT market’s implosion.

NFT Market Continues to Crater

The court-approved settlement comes at a time when the NFT industry is facing historic lows. Weekly sales have dropped dramatically — from over $2 billion at the peak of 2021 to just $27 million as of April 7, 2025, according to CryptoSlam.

While some notable collections like Pudgy Penguins and Doodles have shown resilience, the overall NFT sector remains deep in a bear market. The dramatic decline has sparked increased legal scrutiny of NFT projects, especially those promoted by celebrities.

Also read: The Alarming Truth About 2024 NFTs – 98% Are Dead: Report

O’Neal’s settlement could become a key precedent as regulators and courts increasingly scrutinize celebrity involvement in digital asset promotion. With the line between marketing and liability growing thinner, the case serves as a warning for high-profile figures who leverage their brands to back speculative crypto ventures.

Author

  • Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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