The US Securities and Exchange Commission (SEC) has fined Kim Kardashian $1 million (427 million HUF at current exchange rates) for posting on Instagram about a crypto token without announcing it, so she got paid – Heaven reports.
Kardashian posted on her Instagram about the EthereumMax token, for which she received $250,000. Although the fine is only $1 million, he has to repay the gas he got for the ad, as well as interest, so he has to pay a total of $1.26 million (538 million HUF).
According to US law, in the case of certain cryptocurrency-related advertisements, it must be clear not only that it was an advertisement, but also to what extent, from where and in what form the poster received anything in return for it, said Gary Gensler, president of the SEC.
Back in June 2021, Kardashian posted about the token – in all caps – with the text that this is by no means financial advice, just what her friends told her about EthereumMax. He has a total of 331 million followers on Instagram.
Kardashian’s lawyers announced in a statement that their client has cooperated with the Securities and Exchange Commission in every way and will continue to do so in the future, but now he can finally put the case behind him and focus on his other business matters.
A few years ago, boxers Floyd Mayweather Jr. and DJ Khaled were both punished for posting about cryptocurrency without publishing it, and got paid for it.
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