Shaquille O'Neal Receives Court Approval for $11M Settlement in Astrals NFT Lawsuit

In a major legal development, retired NBA superstar Shaquille O’Neal has secured final approval from a Florida federal court to settle a class-action lawsuit involving his involvement in the Astrals NFT project. The settlement, valued at $11 million, comes after months of legal proceedings, including claims from buyers of the NFT collection who alleged financial losses linked to the project.

On April 1, Judge Federico Moreno of the Southern District of Florida signed off on the agreement, which was officially disclosed on April 8. The settlement creates a fund of up to $11 million intended to compensate eligible class members who purchased Astrals NFTs or its associated GLXY tokens between May 2022 and January 2023.

The class action lawsuit accused O’Neal of promoting and offering unregistered securities through the Astrals NFT collection, which was launched in 2022 on the Solana blockchain. The lawsuit alleged that the buyers suffered financial losses due to O’Neal’s promotional efforts, which were seen as misleading or insufficiently transparent.

Screenshot from court order on final settlement. Source: Courtlistener

In total, the $11 million settlement includes $2.9 million to cover attorney fees and legal costs. Those who purchased the Astrals NFTs or GLXY tokens during the specified timeframe are eligible to claim compensation. According to Judge Moreno's order, the attorney fee structure was reviewed and deemed fair and reasonable by the plaintiffs.

The Astrals NFT collection, which consisted of 10,000 unique 3D digital items, was created by artist Damien Guimoneau in April 2022. The project promised an immersive virtual world where users could socialize and engage with others, including O’Neal himself. Despite the initial hype, the collection has seen little to no activity over the past two years, with NFT marketplace OpenSea showing no sales or transactions related to the project since its launch.

O’Neal faced scrutiny after the lawsuit, filed in May 2023, accused him of not properly disclosing the risks associated with the Astrals project. The former NBA star agreed to the settlement in November 2023, after the case was recognized by Judge Moreno in August, who acknowledged that O’Neal could be considered a seller of the NFTs.

The lawsuit and its settlement come at a time when the broader NFT market has been experiencing a significant downturn. Sales have slumped drastically from their peak in 2021, with total NFT transactions falling to just $27 million as of early April 2025, compared to the more than $2 billion weekly sales seen in late 2021, according to CryptoSlam data.

While the settlement may bring an end to the legal dispute, it also serves as a reminder of the volatile and risky nature of the NFT market, particularly when celebrity endorsements are involved.