She knew it was trouble! Why Taylor Swift snubbed £80m FTX deal
She knew it was a problem! How Taylor Swift rejected an £80 million FTX deal and sidestepped a £4 billion lawsuit
Taylor Swift refused to sign an £80million sponsorship deal with disgraced crypto exchange FTX after raising concerns over regulation – and subsequently sidestepped a £4bn lawsuit targeting celebrities who weren’t as bright.
The global superstar, whose songs include hits like Love Story and I Knew You Were Trouble, rejected an approach to become an FTX spokesperson and investor, ending talks just months before the stock market crashed in November.
Sam Bankman-Fried, founder and CEO of FTX, is reportedly a “fan of Tay Tay” and has personally pushed for a deal with her.
Snub: Taylor Swift was approached to become an FTX spokesperson and ended talks just months before the exchange collapsed in November
But the singer, 33, was put off by the company’s lack of registration with US authorities, according to an interview with Adam Moskowitz, a lawyer representing crypto investors in a £4 billion lawsuit against celebrities who supported FTX.
Discussing stars who allegedly didn’t ask questions about FTX, Moskowitz told The Scoop podcast, “The only person I found who did that was Taylor Swift.
“Upon our discovery, Taylor Swift actually asked them, ‘Can you tell me these aren’t unregistered securities?'”
The lawsuit seeks damages from Bankman-Fried and 11 American athletes, including basketball players Shaquille O’Neal and Stephen Curry, and American football legend Tom Brady.
Under US law, stars are liable if they promote unregistered securities for financial gain, showing how Swift’s due diligence has paid off.
FTX, which was once worth a whopping £25 billion, went bankrupt late last year, sending a shock wave through the crypto industry.
Bankman-Fried awaits trial on criminal charges of stealing billions of dollars from FTX customers.
On Twitter, Elon Musk responded to the Swift story, saying he wasn’t “surprised” by the news, adding, “Taylor is smart and her dad is a respected investment banker.”
Swift’s father Scott worked for Merrill Lynch for more than 30 years in a variety of roles, including as a stockbroker and investment banker. According to Forbes, the singer is worth an estimated £458 million.