G2 Esports sues NFT for $5.25 million

G2 Esports has filed a lawsuit against Bondly, a blockchain company, in the LA County Superior Courts (by The Washington Post). The esports organization signed a two-year deal with Bondly in June 2021, as part of which Bondly was supposed to create and sell official G2 NFTs. Another part was to pay G2 Esports a $2 million annual rights fee, plus a $1.25 million advance, money Bondly was supposed to recoup through NFT sales.

Well, in news that won’t surprise NFT drama followers, the money didn’t materialize. G2 Esports’ lawsuit says that after the first invoice was submitted, a Bondly representative said the company could not “successfully deliver an NFT program”. Bondly reportedly wanted to put the deal on hold, but this came after the public announcement of the deal and the G2 rejected it: whereupon Bondly sought to rescind the deal, blatantly blaming the G2 for not being willing to work towards a solution.

The G2 lawsuit alleges Bondly knew he could never deliver when he signed the contract, which is a serious no-no. “Bondly and his agents knew their representations were false when they made them, or they made the representations recklessly and without regard for their truth. They knew they couldn’t act, but shrewdly waited until G2 publicly announced their partnership with Bondly. to its millions of fans to reap the benefits of advertising through the highly valuable G2 brand.”

G2 is seeking $5.25 million in damages.

All links to the Bondly NFT project are now dead, though social posts like the one below remain.

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Bondly website describes the company as “at the forefront of NFT technologies that bring creators and fans together […] We take every step of the process to bring authenticated digital products to the music, entertainment, gaming and collectibles market with a suite of products and services designed to support the entire blockchain ecosystem.”

That is, it makes NFTs for people with some degree of celebrity who don’t mind getting involved but want a payday. He did a Logan Paul project, for example.

Oh well, there’s one born every minute, I suppose. Also don’t take this as a sign of great virtue on the part of G2 Esports: the organization is now in partnership with other company NFT, Solana. You’re not alone: ​​big names like Ninjas in Pajamas have joined the gold rush, along with the usual suspects like FaZe Clan.

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