Justin Bieber might be iconic on stage, but his investment strategy, at least in terms of NFTs, certainly missed the mark. The famous Canadian pop star paid $1.3 million for a Bored Ape NFT last year, which is now worth only around $59,000.

Foraying the hyped NFT space during the digital asset bull run seemed like a lucrative and exciting addition to many celebrities’ investment portfolios. However, many who sang the praises of these non-fungible tokens have not managed to steer clear of the troubles that followed.

Justin Bieber’s NFT Losses

Bieber’s tryst with NFTs dates back to January 2022, when the sector was raging with celebrity endorsements. The global pop star invested 500 ETH, which was equivalent to $1.3 million, on BAYC. Eighteen months later, his net paper loss stands at $1.24 million.

Justin Bieber spent over $1.3 million on this NFT last year

It is currently worth $59,000 pic.twitter.com/LwdNkLyRZU

— Dexerto (@Dexerto) July 3, 2023

BAYC is a collection of 10,000 Bored Ape NFTs-unique digital collectibles living on the Ethereum blockchain. The once-premier collection saw a massive decline in its floor price that dipped below 30 ETH, making a multi-year low not seen since October 2021. BAYC’s current state mirrors a general cooling down of the NFT market. Other prominent players such as MoonBirds, MAYC, Azuki, and Doodles also witnessed declines in value lately.

Bieber isn’t the only celeb to have suffered financial damage from his NFT purchases as a result of the turbulent market conditions. Last year, the paper losses of the soccer star Neymar Jr. as well as the renowned rapper Eminem stood at $700,000 and $300,000, respectively.

American singer and “Queen of Pop,” Madonna, also sported big paper losses with her NFTs after purchasing an evil eye ape and then subsequently watching the price go down.

Legal Troubles

Apart from crashing prices, legal troubles for these celebs caught up. Last December, NFT investors sued the creator of the popular BAYC collection of NFTs and its promoters, including A-listers such as Madonna, Paris Hilton, and Justin Bieber, for allegedly using the celebs who didn’t disclose they were paid to pump sales to dupe them into buying the collectibles.

The proposed class-action lawsuit, filed in Los Angeles federal court, accused Yuga Labs, Hollywood agent Guy Oseary and MoonPay USA of using their network of prominent musicians, athletes, and celebrities to misleadingly promote and sell Yuga financial products.