Sotheby's and Paris Hilton , Among Those Sued by Investors , As NFT Prices Collapse.<br />CNN reports that a group of investors has filed a lawsuit <br />against Sotheby's Holdings Inc. and others over a 2021 auction <br />of Bored Ape Yacht Club non-fungible tokens (NFTs).<br />CNN reports that a group of investors has filed a lawsuit <br />against Sotheby's Holdings Inc. and others over a 2021 auction <br />of Bored Ape Yacht Club non-fungible tokens (NFTs).<br />The news follows a collapse in value for <br />the celebrity-promoted collectibles. .<br />Four plaintiffs are reportedly named in the <br />class action lawsuit, which alleges that the auction house's <br />endorsement of the NFTs was purposefully misleading. .<br />Four plaintiffs are reportedly named in the <br />class action lawsuit, which alleges that the auction house's <br />endorsement of the NFTs was purposefully misleading. .<br />The lawsuit also accuses Sotheby's of colluding <br />with the NFTs' creator, Yuga Labs, in order <br />to artificially inflate the collectible's value.<br />CNN reports that Sotheby's is just one <br />of 30 defendants named in the filing. .<br />Justin Bieber and Paris Hilton are among celebrities <br />accused of promoting the NFT collection without <br />also disclosing their financial links to the company. .<br />Justin Bieber and Paris Hilton are among celebrities <br />accused of promoting the NFT collection without <br />also disclosing their financial links to the company. .<br />In May of 2022, the collectibles <br />were selling for at least $400,000.<br />According to CoinGecko, a cryptocurrency <br />market tracker, the NFT can now be <br />purchased for as little as $52,445. .<br />Sotheby’s representations that the <br />undisclosed buyer was a ‘traditional’ <br />collector had misleadingly created <br />the impression that the market for <br />(Bored Ape Yacht Club) NFTs had <br />crossed over to a mainstream audience, Plaintiff's legal filing, via CNN.<br />Earlier this year, eight other celebrities were charged by <br />the Securities and Exchange Commission (SEC) for not <br />revealing that they were compensated to promote cryptocurrencies.<br />Earlier this year, eight other celebrities were charged by <br />the Securities and Exchange Commission (SEC) for not <br />revealing that they were compensated to promote cryptocurrencies
