The US Securities and Exchange Commission (SEC) has accused Kim Kardashian of illegally advertising crypto assets.
The SEC has filed charges against Kim Kardashian for posting a crypto-asset security offered and sold by EthereumMax on social media.
SEC Accuses Kim Kardashian of Illegal Crypto Advertisement
The SEC has determined that Kim Kardashian was paid $250,000 to post on her Instagram account about cryptoasset security EMAX tokens offered by EthereumMax.
Kardashian’s post included a link to the EthereumMax website, which provides potential investors with instructions to purchase EMAX tokens.
Kardashian, not dismissing the SEC’s findings, agreed to pay the aforementioned $1.26 million, including approximately $260K representing the promotional payout, plus advance judgment interest and a $1 million penalty. Kardashian also agreed not to promote any crypto-asset securities for three years.
SEC Chairman Gary Gensler said:
“This case is a reminder that when celebrities or influencers promote investment opportunities, including crypto-asset securities, it does not mean that these investment products are right for all investors. We encourage investors to evaluate the potential risks and opportunities of an investment in light of their own financial goals.”
40508
