American star Kim Kardashian has agreed to pay $1.26 million for praising a cryptocurrency on her Instagram account without mentioning that she was paid to do so, Wall Street constable SEC has announced. .
The authority specifically accuses the reality TV star, influencer and businesswoman of a cryptocurrency asset, EMAX tokens, sold on EthereumMax, failing to indicate that she had been paid $250,000 per platform for this operation. The fine includes a penalty of $1 million as well as an adjustment of $260,000 which represents the amount received by Ms. Kardashian and interest.
Kanye West’s ex-wife, who agreed to cooperate with the SEC, also pledged not to promote cryptocurrency assets for three years.
“This case is a reminder that when celebrities or influencers promote investment opportunities, including cryptocurrency assets, that doesn’t mean those investment products are good for all investors.”said SEC chief Gary Gensler in a statement.“We encourage investors to consider the potential risks and opportunities of an investment in light of their financial objectives”added Mr. Gensler.
According Forbes, Mrs. Kardashian’s personal fortune stands at $1.8 billion. She has 331 million followers on Instagram. Already present in the world of make-up and sculpting underwear, she launched the private equity firm SKKY Partners in early September with Jay Simmons.
Other celebrities have been caught in the past by US authorities for illegally promoting cryptocurrencies, including boxer Floyd Mayweather, rap star DJ Khaled, actor Steven Seagal and rapper TI