Kim Kardashian Agrees to Pay $1.26 Million to Settle Charges From SEC for Promoting Cryptocurrency

usmagazine.com:

Paying the price. Kim Kardashian agreed to give more than $1 million to the U.S. Securities and Exchange Commission amid an ongoing investigation regarding her promotion of cryptocurrency brand EthereumMax.The organization announced in a statement on Monday, October 3, that the Skims CEO, 41, was charged “for touting on social media a crypto asset security offered and sold by EthereumMax without disclosing the payment she received for the promotion.”The Keeping Up With the Kardashians alum “agreed to settle the charges, pay $1.26 million in penalties, disgorgement and interest, and cooperate with the Commission’s ongoing investigation.”According to the SEC, the California native “failed to disclose that she was paid $250,000 to publish a post on her Instagram account about EMAX tokens,” which she shared in June 2021.

Along with paying the hefty fine, the makeup mogul agreed to not promote any crypto assets for the next three years.“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 noted in a statement on Monday. “We encourage investors to consider an investment’s potential risks and opportunities in light of their own financial goals.”Gensler continued: “Ms.

Kardashian’s case also serves as a reminder to celebrities and others that the law requires them to disclose to the public when and how much they are paid to promote investing in securities.”The Kardashians star mentioned EthereumMax via her Instagram Story last summer, asking her followers, “Are you guys into crypto???? … This is not financial advice but sharing what my friends just told