According to The Washington Post, Kim has been ordered to pay over a million dollars to the SEC for not revealing how much she was paid to push the coin. The star has agreed to refrain from promoting any coins for at least 3 years.
The reality television star wrote loudly on social media in June of last year. "This is not financial advice but telling my friends what they just told me."
There is a small "#ad" note at the bottom of the post that is required of all social media celebrities. She didn't mention that she was paid $250,000 to promote the volatile asset, which would have made it clear to her millions of followers that she had more incentive to promote.
Today @SECGov, we charged Kim Kardashian for unlawfully touting a crypto security.
This case is a reminder that, when celebrities / influencers endorse investment opps, including crypto asset securities, it doesn’t mean those investment products are right for all investors.
— Gary Gensler (@GaryGensler) October 3, 2022
In the past, the family has been criticized for promoting ineffective appetite-suppressants and for endorsing a medication that has caused a lot of controversy. This relatively small penalty from the financial sector's principal's office is just a slap in the face.
The most famous woman in the world isKardashian. The SEC has gone after other celebrities for similar endeavors, but appears especially eager to make an example of the the ultra-famous star's promotion of a volatile, poorly understood asset.
Gary Gensler, chair of the SEC, said in a news release that it doesn't mean that those investment products are right for all investors.
KimKardashian agreed to pay over one million dollars in the SEC case.
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