KimKardashian agreed to pay over a million dollars as part of a settlement with the Securities and Exchange Commission. According to an SEC press release, KimKardashian won't admit wrongdoing but won't promote anycryptocurrencies for the next 3 years. The promotion to the photo sharing website was published in June of 2021.
Is it possible that you're into crypts? This is not financial advice but telling my friends what they just told me.
The price of the token skyrocketed after celebrities promoted it. Buyers were left with a worthless coin.
Regulators say that she should have told consumers how much she was getting for the ad because she didn't.
Gary Gensler, the head of the SEC, made a video explaining the agency's stance on celebrity endorsements of securities.
The Director of the SEC's Division of Enforcement said in a statement that the federal securities laws are clear that any celebrity who promotes acryptocurrencies must reveal the nature, source, and amount of compensation they received in exchange for the promotion.
The investors are entitled to know if the publicity of a security is neutral.
What amount was paid for the ad by Kim? She will repay all of the money with an additional $10,000 interest. It is thought that the $1 million on top of that is meant to discourage her from doing this again after three years.
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