Kim Kardashian agreed $1.26 million to settle Securities and Exchange Commission charges that she promoted a crypto security without disclosing the payment she received.
Kardashian was required to agree to refrain from promoting crypto asset securities for the next three years.
According to the SEC, Kardashian was not required to disclose that she was paid $250,000 by Ethereum Max to post a post to her Instagram account regarding EMAX tokens.
Kardashian's post was linked from the Ethereum Max website. This provided instructions for potential investors how to purchase EMAX tokens.
Kardashian, a celebrity reality TV star and influencer, is one of the most followed accounts on Instagram, currently with 301million followers.
Gary Gensler (SEC chairperson) stated that this case serves as a reminder to investors that endorsements by celebrities or influential people don't necessarily mean that investment
products are suitable for all investors. "Ms. Kardashian's case is also a reminder for celebrities and other people that the law requires them disclose to the general public when