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Nike Faces $5 Million Lawsuit Over RTFKT Closure

4/28/2025

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Summary

Story summary

Investors have launched a class action lawsuit against Nike for closing its Web3 subsidiary, RTFKT, resulting in financial losses.
Plaintiffs allege Nike "rug pulled" the community by promoting unregistered securities without proper risk disclosure.
The lawsuit demands over $5 million in damages for breaching consumer protection laws across several states.
Nike plans to wind down RTFKT by December 2024, despite its earlier success in digital collectibles.

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Story summary

Investors have launched a class action lawsuit against Nike for closing its Web3 subsidiary, RTFKT, resulting in financial losses.
Plaintiffs allege Nike "rug pulled" the community by promoting unregistered securities without proper risk disclosure.
The lawsuit demands over $5 million in damages for breaching consumer protection laws across several states.
Nike plans to wind down RTFKT by December 2024, despite its earlier success in digital collectibles.