Kim Kardashian has been charged by the Securities and Exchange Commission for unlawful promotion of a crypto currency and agreed to pay a $1.26 million fine.
According to the SEC, Kardashian used her social media to tout EMAX tokens, a crypto currency sold by EthereumMax, without disclosing the payment she received for the promotion.
“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,” said SEC Chair Gary Gensler in a statement.
Kardashian neither admitted to nor denied the SEC’s findings, but “wanted to get this matter behind her to avoid a protracted dispute. The agreement she reached with the SEC allows her to do that so that she can move forward with her many different business pursuits,” her lawyer said in a statement (via CNBC).
As part of her agreement with the SEC, Kardashian also agreed not to promote any other crypto currencies for a period of three years.