Cristiano Ronaldo has been named in a $1 billion (£790 million) class action lawsuit in the US over his relationship with cryptocurrency exchange Binance. The 38-year-old Portuguese former Manchester United striker and five-time Ballon d’Or winner released a series of tokens (NFTs) when he partnered with Binance in November 2022.

The cheapest tokens, all of which are referred to by Ronaldo’s initials and shirt number (CR7), sold for $77 (£60.76) last year, but are worth just $1 (0.79 pounds) 12 months later. The plaintiffs allege that Ronaldo’s involvement led to their investment losses and damages “in excess” of $1 billion. In the complaint filed Tuesday (US time) in the Southern District Court of Florida in Miami, it is alleged that Ronaldo “promoted, assisted, and/or actively participated in the offering and sale of unsecured securities” registered to coordinate with Binance”.

Other claims assert that Cristiano Ronaldo’s promotion of Binance led to a “500% increase in searches” for the cryptocurrency exchange following the release of the code.

Previously, SEC Chairman Gary Gensler said that celebrities and sports stars must “disclose to the public how much money you are paid and from whom to motivate them to invest in securities.”

“When celebrities endorse investment opportunities, including stocks and cryptocurrencies, investors should carefully research whether the investment is right for them,” says Gary Gensler. and they should know why celebrities make those endorsements.”