Rapper and musician Tyga has been named in a lawsuit accusing him of breaching a $500,000 contract to promote a new series of non-fungible tokens (NFTs). The rapper is denying all claims of wrongdoing and is trying hard to dismiss all the claims.
Tyga Named in New NFT-Based Suit
The plaintiff named in the lawsuit is a UK-based company called Kreation Technologies. The enterprise is suing both Tyga and New Style Media, saying both entities took part in promissory fraud. While the details of the suit are relatively scarce at this time, it is alleged that both Kreation and New Style engaged in a contract acting on behalf of the American musician. The name, likeness, and music of Tyga would be featured in the series’ artwork.
The company says the rapper agreed to take part in four official drops of the NFTs, in which the tokens would be released to a roster of individuals prior to their becoming available for purchase amongst members of the public. Tyga was initially promised $500,000, with about $100K being delivered within the first two days of the drops taking place. Tyga was then required to engage in specific duties prior to the remaining $400K being distributed to his monetary account.
Among the tasks to be completed by the rapper would be posting on social sites like Twitter and Instagram about the new line of tokens. According to Kreation, Tyga failed to do so. He also did not participate in any additional promotion of the tokens, and he also cancelled media interviews in which he was scheduled to discuss the new art line. This, executives claim, contributed to heavy delays in the token drops. Eventually, the project came to a complete halt due to its reported lack of promotion.
Kreation says this caused the firm heavy financial trouble, which is why the company is now filing suit against the rapper. In a statement, Tyga’s representatives defended his actions and said he is not responsible for the company’s shortcomings. The statement reads as follows:
The agreement turned out to be a bad deal for [Kreation] not because of any actions or non-performance of [Tyga], but because the cryptocurrency market loudly and publicly crashed during the term of the agreement. [Kreation] now seeks a bailout for its failed investment and sued NSMG and [Tyga].
A Terrible Time for Crypto
Listening to the statement, it’s not difficult to assume there’s some truth to the verbiage given just how badly the digital currency space had it in 2022. In arguably the worst year for crypto on record, the space lost more than $2 trillion in overall valuation, and bitcoin dropped by more than 70 percent.
The case is currently ongoing as Tyga has not yet had the charges against him dismissed.
