kim kardashian: Kim Kardashian settles SEC crypto-scheduling charges with $1.26 million penalty
What was Kardashian’s offense?
According to reports, Kim Kardashian failed to disclose (required by law) that she received $250,000 for posting an advertising message on EMAX crypto tokens on Instagram.
Kim Kardashian’s post is also linked to EMAX’s website. A potential customer is offered to buy the digital coins once on EMAX’s website.
Kim Kardashian solves the problem
Kim Kardashian settled the charges against her by paying $1.26 million in penalties and interest and cooperating with the agency. However, Kim Kardashian settled on penalties without accepting or denying the SEC’s charge, a legal stance.
In addition, Kim Kardashian agreed not to market any crypto assets for three years.
However, Kim Kardashian’s settlement allows her to continue with her other promotional duties.
A big punishment
Kim Kardashian’s total payment includes approx
USD 260,000, the fee she received, a pre-judgment fine and $1 million in punitive damages.
Common questions
What does the US crypto celebrity endorsement law say?
The controlling authority, the SEC, announced in 2017 that all celebrities must disclose the amount the company paid directly or indirectly for the campaign. In addition, investors must research celebrity endorsements.
How does EMAX profit from Kim’s endorsement?
One advertising post is enough to reach millions with a follower base of over 300 million.
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