The crypto industry has witnessed the arrival and departure of an array of celebrities. While some continue endorsing specific crypto networks, a few others have been facing the wrath of regulators. Reality TV star Kim Kardashian found herself drowning in troubled waters for endorsing Ethereummax on social media. In more recent news, it was brought to light that Kardashian was being penalized for this and had even decided to settle with the Securities and Exchange Commission (SEC) of the US.
According to the SEC’s most recent press release, the reality TV personality was accused of unlawfully promoting cryptocurrency security on social media. It was highlighted that she got into additional trouble because she didn’t reveal how much money she gained from promoting EthereumMax. She was reportedly paid $250,000 for posting about EMAX tokens on her Instagram.
According to sources, her post read,
“ARE YOU INTO CRYPTO??? THIS IS NOT FINANCIAL ADVICE BUT SHARING WHAT MY FRIENDS JUST TOLD ME ABOUT THE ETHEREUM MAX TOKEN.”
Kim Kardashian did not, however, want the matter to drag on. She consented to pay $1.26 million as a result. According to reports, the payment consists of a disgorgement of about $260,000, prejudgment interest, and a $1,000,000 penalty.
She also indicated that she fully supported the SEC’s inquiry in addition to this. Kardashian further stated that she would refrain from engaging in any action involving the trading of crypto asset securities for the ensuing three years.