Mila Kunis & Ashton Kutcher's Animated 'Stoner Cats' Series Fined By SEC

justjared.com:

Another thing in Mila Kunis and Ashton Kutcher‘s life is under fire. According to Entertainment Weekly, the married couple is set to star in an animated series called Stoner Cats, and it’s being fined by the SEC (Securities and Exchange Commission) over how it was financed. Keep reading to find out more… The outlet reports that in order to fund the series, the team behind the show sold over 10,000 NFTs, which profited around $8 million.

However, in doing that, the creators’ “violated the Securities Act of 1933 by offering and selling these crypto asset securities to the public in an unregistered offering that was not exempt from registration.” EW added that the marketing strategy behind the NFT funded series was the promise of re-selling the NFT at a higher profit in the future.

The LLC also “emphasized its expertise as Hollywood producers, its knowledge of crypto projects, and the well-known actors involved in the web series, leading investors to expect profits because a successful web series could cause the resale value of the Stoner Cats NFTs in the secondary market to rise.” In doing this, the SEC stated that the LLC found a way to reward itself with a 2.5 percent royalty each time the original NFT was purchase. “Without admitting or denying the SEC’s findings, SC2 agreed to a cease-and-desist order and to pay a civil penalty of $1 million,” a release on the issue shared. “The order establishes a Fair Fund to return monies that injured investors paid to purchase the NFTs.

SC2 also agreed to destroy all NFTs in its possession or control and publish notice of the order on its website and social media channels.” Ashton and Mila were just two of the series’ stars, alongside Chris Rock and Jane Fonda.