from the if-you-can't-trust-a-celebrity-who-can-you-trust? dept.
SEC Charges Kim Kardashian for Unlawfully Touting Crypto Security:
The Securities and Exchange Commission today announced charges against Kim Kardashian for touting on social media a crypto asset security offered and sold by EthereumMax without disclosing the payment she received for the promotion. Kardashian agreed to settle the charges, pay $1.26 million in penalties, disgorgement, and interest, and cooperate with the Commission's ongoing investigation.
The SEC's order finds that Kardashian failed to disclose that she was paid $250,000 to publish a post on her Instagram account about EMAX tokens, the crypto asset security being offered by EthereumMax. Kardashian's post contained a link to the EthereumMax website, which provided instructions for potential investors to purchase EMAX tokens.
[...] "Ms. Kardashian's case also serves as a reminder to celebrities and others that the law requires them to disclose to the public when and how much they are paid to promote investing in securities," Chair Gensler added.
"The federal securities laws are clear that any celebrity or other individual who promotes a crypto asset security must disclose the nature, source, and amount of compensation they received in exchange for the promotion," said Gurbir S. Grewal, Director of the SEC's Division of Enforcement. "Investors are entitled to know whether the publicity of a security is unbiased, and Ms. Kardashian failed to disclose this information."
[...] The SEC's statement urging caution regarding potentially unlawful celebrity-backed crypto asset offerings can be found here. SEC Chair Gensler today published a video warning investors not to make investment decisions based solely on the recommendations of a celebrity or influencer.
(Score: 2) by Revek on Tuesday October 04 2022, @08:03PM (4 children)
From all the other failures.
This page was generated by a Swarm of Roaming Elephants
(Score: 1, Offtopic) by Rosco P. Coltrane on Tuesday October 04 2022, @09:25PM (1 child)
Or someone working at the SEC believes the bad karma from the OJ thing is inherited and it's payback time.
(Score: 0) by Anonymous Coward on Tuesday October 04 2022, @09:27PM
OJ? I think you are confused. Maybe if you look back to insider trading by Martha Stewart?
(Score: 2) by mcgrew on Wednesday October 05 2022, @07:28PM (1 child)
Wait, I don't get it. Aren't they the bad guys in STNG and DS9?
Carbon, The only element in the known universe to ever gain sentience
(Score: 2) by krishnoid on Wednesday October 05 2022, @09:29PM
And they misdirect resources here on Earth, if you believe Bill Burr's rant on the WNBA [youtu.be] (warning, bad words and mild misogyny).
(Score: 0, Insightful) by Anonymous Coward on Tuesday October 04 2022, @08:38PM
ass.
(Score: 3, Insightful) by maxwell demon on Wednesday October 05 2022, @04:30AM (1 child)
On the dept line: Celebrities are among the people I generally would trust the least.
The Tao of math: The numbers you can count are not the real numbers.
(Score: 3, Insightful) by driverless on Wednesday October 05 2022, @10:19AM
"Whatever you do, don't let yourself be influenced by the influen... oh.... damn...".
This isn't going to work. The halo effect [webmd.com] has been well-known and studied for decades, it's exactly why celebrities are paid to sell products and services. Gensler would have been better off warning about cryptocurrencies and other ponzi schemes in general.