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Sports Stars Settle Allegations in Voyager Digital Case

Gronkowski

Rob “Gronk” Gronkowski and Victor Oladipo, retired NFL and NBA legends, respectively, have settled allegations in the new legal case surrounding NASCAR driver Landon Cassill involving cryptocurrency exchange Voyager Digital. The trio decided to split the bill in three and each pay $2.42 million to settle claims alleging their role in the marketing of the bankrupt exchange.

Gronkowski, Oladipo, and Cassill Resolve Legal Dispute

As per a class action settlement filed on May 3, Gronkowski will have to bear the majority of the bill, which equates to $1.9 million; Oladipo contributed 500,000, while Cassil contributed 25,000. Significantly, all three athletes agreed with the settlements without admitting or denying any of the allegations against them.

The settlement covers all U.S. persons who executed a Voyager Earn Program Account or acquired VGX tokens from October 2019 to the preliminary approval date. Moreover, plaintiffs seek to claim about $792,000 in attorney fees as a part of the settlement.

Adam Moskowitz, who was the attorney for the football players, emphasized that the athletes were a key in making the settlements happen because of the in-built empathy that Gronkowski had for his fans that they wanted to help him, and despite not getting their desired cut when he was injured and unable to play, the fact of the matter is that Gronkowski accomplished a lot with the money that he did receive. Gronk was truly empathetic towards all of his fans and lost money with Voyager as well; however, he continues to be a staple of trust as the spokesperson.

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$2.4 Million Settlement Reached in Class Action Lawsuit

After a class-action lawsuit was filed against Dallas Mavericks owner Mark Cuban in 2022, this lawsuit was amended to encompass Gronkowski and other Voyager promoters in 2023. The mediation discussions centered on concerns over whether the Voyager products should be registered as securities and the promoters’ solicitation of investors.

The ultimate financial struggle for Voyager Digital was when it filed for bankruptcy in July 2022, triggered by the market turbulence associated with the Terra/Luna collapse and default on debts to the Three Arrows Capital hedge fund. But the latest developments point to some compensation to creditors, with Voyager receiving $484 million from settlements with FTX, Three Arrows Capital, and directors and officers insurance claims in April.

The resolution of the legal matter with respect to Gronkowski, Oladipo, and Cassill is a key blocking stone in the way of the Voyager Digital collapse aftermath, providing consolation for the suffered investors and other stakeholders.

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