{"id":82744,"date":"2022-10-04T00:10:38","date_gmt":"2022-10-04T04:10:38","guid":{"rendered":"https:\/\/www.hedgeco.net\/news\/?p=82744"},"modified":"2022-10-03T23:01:41","modified_gmt":"2022-10-04T03:01:41","slug":"sec-charges-kim-kardashian-for-unlawfully-touting-crypto-security","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/10\/2022\/sec-charges-kim-kardashian-for-unlawfully-touting-crypto-security.html","title":{"rendered":"SEC Charges Kim Kardashian for Unlawfully Touting Crypto Security"},"content":{"rendered":"\n<p>(HedgeCo.Net) The Securities and Exchange Commission has announced charges against <strong>Kim Kardashian<\/strong> for touting on social media a crypto asset security offered and sold by <strong>EthereumMax<\/strong> 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\u2019s ongoing investigation.<\/p>\n\n\n\n<p>The SEC\u2019s 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\u2019s post contained a link to the EthereumMax website, which provided instructions for potential investors to purchase EMAX tokens.<\/p>\n\n\n\n<p>&#8220;This case is a reminder that, when celebrities or influencers endorse investment opportunities, including crypto asset securities, it doesn\u2019t mean that those investment products are right for all investors,&#8221; said SEC Chair Gary Gensler. &#8220;We encourage investors to consider an investment\u2019s potential risks and opportunities in light of their own financial goals.&#8221;<\/p>\n\n\n\n<p>&#8220;Ms. Kardashian\u2019s 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,&#8221; Chair Gensler added.<\/p>\n\n\n\n<p>&#8220;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,&#8221; said Gurbir S. Grewal, Director of the SEC\u2019s Division of Enforcement. &#8220;Investors are entitled to know whether the publicity of a security is unbiased, and Ms. Kardashian failed to disclose this information.&#8221;<\/p>\n\n\n\n<p>The SEC\u2019s order finds that Kardashian violated the anti-touting provision of the federal securities laws. Without admitting or denying the SEC\u2019s findings, Kardashian agreed to pay the aforementioned $1.26 million, including approximately $260,000 in disgorgement, which represents her promotional payment, plus prejudgment interest, and a $1,000,000 penalty. Kardashian also agreed to not promote any crypto asset securities for three years.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>(HedgeCo.Net) The Securities and Exchange Commission has 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 [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,3,16048,16047],"tags":[],"class_list":["post-82744","post","type-post","status-publish","format-standard","hentry","category-hedgeco-networks-press-releases","category-hedgeco-news","category-hedgecovest-news","category-insider-trading-2"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/82744","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=82744"}],"version-history":[{"count":1,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/82744\/revisions"}],"predecessor-version":[{"id":82745,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/82744\/revisions\/82745"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=82744"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=82744"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=82744"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}