HomeEntertainmentKim Kardashian will pay 1.26 million dollars for accusation of

Kim Kardashian will pay 1.26 million dollars for accusation of

Kim Kardashian is paying $1.26 million in a settlement agreement with the Securities and Exchange Commission amid charges that he illegally promoted a cryptocurrency without disclosing that he was being paid for the promotion.

Kardashian is paying for the settlement without admitting or denying the SEC’s findings, the agency said Monday. He also agreed not to promote any crypto asset values ​​for three years.

The agency said Kardashian will cooperate with its ongoing investigation.

The fine is linked to a cryptocurrency called EthereumMax, or EMAX, which was pitched to investors as a disruptive new cryptocurrency. Kardashian was one of several celebrities who used her fame to promote the crypto asset, and who were the focus of a class action lawsuit in January for their sponsorships.

The SEC said that Kardashian did not disclose that she was paid $250,000 to post a post on her Instagram account about EMAX tokens. Kardashian’s post contained a link to the EthereumMax website, which provided instructions for potential investors to purchase EMAX tokens.

“Federal securities laws are clear that any celebrity or other person who promotes a crypto asset security must disclose the nature, source, and amount of compensation they received in exchange for the promotion,” Gurbir Grewal, director of the SEC’s enforcement division said in a prepared statement.

The SEC said Kardashian’s settlement includes about $260,000 in return, which covers the amount she earned from promoting the cryptocurrency plus interest, as well as a $1 million penalty.

—With information from the Associated Press.

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