Raymond Hall/GC Images via Getty
Kim Kardashian has agreed to pay a $1.26 million fine for pushing a dubious cryptocurrency asset to her hundreds of millions of social media followers without disclosing that she’d been paid to do so, the Securities and Exchange Commission said Monday.
The reality star and business mogul agreed to settle charges brought against her by the SEC over an Instagram post promoting EMAX tokens—a celebrity-backed crypto asset offered by EthereumMax. Kardashian did not reveal that she had been paid $250,000 for the post, which contained a link to the EthereumMax website which provided instructions for buying the tokens.
“This case is a reminder that, when celebrities or influencers endorse investment opportunities, including crypto asset securities, it doesn’t mean that those investment products are right for all investors,” SEC Chair Gary Gensler said in a news release. “We encourage investors to consider an investment’s potential risks and opportunities in light of their own financial goals.