PANews reported on April 27 that Nike Inc. (NKE.N) was sued on Friday by a group of buyers who purchased Nike-themed NFTs and other crypto assets, Reuters reported. The buyers alleged that they suffered significant losses after the company suddenly shut down the business unit responsible for creating the above assets. In a proposed class action lawsuit filed in the Brooklyn Federal Court in New York, a group of buyers led by Australian resident Jagdeep Cheema said that Nike's RTFKT division suddenly closed in December 2024, causing a sharp drop in demand for its NFTs. The buyer group claimed that if they had known in advance that these tokens were unregistered securities and that Nike would "suddenly withdraw", they would never have purchased these NFTs at the time or any price. The lawsuit accuses Nike of violating consumer protection laws in New York, California, Florida and Oregon. The amount of the claim was not specified, but it exceeded $5 million.
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