Tyga Sues Over $500,000 NFT Deal Rejected, Rapper Blames Crypto Market Crash

In court documents, Kreation said it entered into an agreement with Newstyle Media, which acted on Tyga’s behalf. The parties agreed to work on an NFT project where the rapper’s name, image, music and artwork were to be incorporated.

NFT is a cryptographic resource that is “embedded in a blockchain with unique identification codes and metadata that distinguish them from each other.”

The company said Tyga agreed to participate in four NFT “drops” or releases — each will include one of three unique NFT collections to be created by Tyga.

Kreation said Tyga agreed to a minimum of $500,000 with $100,000 due within 2 days of the deal being executed. The remaining balance was due as the rapper completed other requirements of the contract.

The agreement stated that Kreation would be paid the first $500k that came in. Tyga was to be paid additional percentages of profits that exceeded $500k.

However, they claim that Tyga failed to make required posts on Instagram and Twitter. To make matters worse, Kreation said the rapper failed to participate or cooperate in the promotion of the NFTs. They claim that Tyga canceled media interviews, social media appearances which delayed the NFT declines.

Kreation said they released on release, but then scrapped the rest of the project due to Tyga not promoting the NFTs. The company said the whole ordeal caused significant damage to its business.

In Tyga’s recently filed response, the rapper said he was not responsible for Kreations’ failure to launch a successful NFT project.

He said: “The deal turned out to be a bad deal for [Kreation] not by reason of any acts or non-performance of [Tyga] but because the cryptocurrency market loudly and publicly crashed during the agreement period. [Kreation] is now seeking a bailout for its failed investment and sued NSMG and [Tyga].”