Kim Kardashian failed to tell her followers she was paid to promote crypto-assets — a mistake that has now cost her $1.26 million and penalties from the Securities and Exchange Commission.
The SEC made the announcement on Monday … Kardashian was allegedly paid $250,000 to post on Instagram about EMAX tokens, a crypto asset offered by EthereumMax. Kim’s post also included a link to the EthereumMax website where her followers could buy tokens.
Kim has already paid the SEC $1.26 million in penalties, fees and interest … and has cooperated with the SEC’s ongoing investigation.
Chairman of the SEC Gary Gensler says: “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 securities investments.”
As for how Kim’s fine breaks down … there’s a $1 million fine, and the remaining $260,000 includes the amount she earned from posting the promotion.