The Daily Hodl
Ledger Nano S - The secure hardware wallet
  • HodlX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • FEATURES
    • News
    • Bitcoin
    • Altcoins
    • Trading
    • Blockchain
    • Regulators
    • Finance and Economy
    • Cryptoculture
    • Scams
    • Mining
    • Crypto 101
  • Crypto Livewire
    • Press Releases
    • Submit
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • THE FUTURE
    • $3.1 Trillion Blockchain Future
    • 6,000 Stores in South Korea
      to Accept Cryptocurrency
    • 80,000 EU-based Merchants
      Can Accept Bitcoin
    • World’s Biggest Brands
      on the Blockchain
    • Despite the FUD,
      Bitcoin Adoption Is Surging
    • Japan Leads Corporate Crypto Bandwagon
    • Mainstream Crypto Payments in UK by 2020
    • Bitcoin Buys Two Condos in New York
    • World’s Smartest City
  • Submit
    • Guest Blog
    • Press release
    • Sponsored post
    • Crypto announcement
    • Personal crypto project
    • Guide or tutorial
    • Infographic
    • Opinion
  • Advertising
Close
The Daily Hodl
Close
  • HodlX
    • Latest Stories
    • FAQ
    • Submit Your Guest Blog
  • FEATURES
    • News
    • Bitcoin
    • Altcoins
    • Trading
    • Blockchain
    • Regulators
    • Finance and Economy
    • Cryptoculture
    • Scams
    • Mining
    • Crypto 101
  • Crypto Livewire
    • Press Releases
    • Submit
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • THE FUTURE
    • $3.1 Trillion Blockchain Future
    • 6,000 Stores in South Korea
      to Accept Cryptocurrency
    • 80,000 EU-based Merchants
      Can Accept Bitcoin
    • World’s Biggest Brands
      on the Blockchain
    • Despite the FUD,
      Bitcoin Adoption Is Surging
    • Japan Leads Corporate Crypto Bandwagon
    • Mainstream Crypto Payments in UK by 2020
    • Bitcoin Buys Two Condos in New York
    • World’s Smartest City
  • Submit
    • Guest Blog
    • Press release
    • Sponsored post
    • Crypto announcement
    • Personal crypto project
    • Guide or tutorial
    • Infographic
    • Opinion
  • Advertising
Celebrities Pay Hefty SEC Fines for Unlawfully Tweeting and Promoting ICOs
Share:
Scams November 30, 2018 Daily Hodl Staff

Celebrities Pay Hefty SEC Fines for Unlawfully Tweeting and Promoting ICOs

 

The US Securities and Exchange Commission announced Thursday that they’ve settled charges against professional boxer Floyd Mayweather Jr. and music producer DJ Khaled for failing to report payments they received for promoting initial coin offerings (ICOs).

These are the first charges of their kind and come in the wake of an SEC investigative report warning that ICO coins may be securities and any parties involved must comply with federal securities laws.

Mayweather received payments from three different ICOs, all of which he failed to disclose. Khaled was paid $50,000 from Centra Tech Inc. to tout the coin as a “game changer” on his social media accounts.

The SEC filed charges against the founders of Centra Tech in April, alleging that the ICO was fraudulent.

Mayweather, who has earned as much as $275 million in a single year, accepted $100,000 from Centra Tech to promote the ICO and send messages to his 7.85 million Twitter followers.

Centra's (CTR) ICO starts in a few hours. Get yours before they sell out, I got mine https://t.co/nSiCaZ274l pic.twitter.com/dB6wV0EROJ

— Floyd Mayweather (@FloydMayweather) September 18, 2017

Mayweather also accepted $200,000 from two other ICOs.

In an Instagram post promoting Hubii.Network ICO, Mayweather dubbed himself “Floyd Crypto Mayweather,” a nod to his “Money Mayweather” nickname.  

 

View this post on Instagram

 

You can call me Floyd Crypto Mayweather from now on…Hubii.Network #ICO starts tomorrow! Smart contracts for sports?! #HubiiNetwork #CryptoMediaGroup 🤑🤑

A post shared by Floyd Mayweather (@floydmayweather) on Aug 23, 2017 at 1:06pm PDT

Although they did not admit guilt, the two media stars agreed to pay disgorgement, penalties and interest. Mayweather agreed to pay $300,000 in disgorgement, a $300,000 penalty and $14,775 in prejudgment interest. Khaled agreed to pay $50,000 in disgorgement, a $100,000 penalty and $2,725 in prejudgment interest.

Join us on Telegram

Additionally, they both agreed to abstain from promoting any type of securities – Mayweather for three years, Khaled for two years.

According toS tephanie Avakian, co-director of the SEC Enforcement Division,

“These cases highlight the importance of full disclosure to investors. With no disclosure about the payments, Mayweather and Khaled’s ICO promotions may have appeared to be unbiased, rather than paid endorsements.”

Enforcement Division co-director Steven Peikin adds,

“Investors should be skeptical of investment advice posted to social media platforms, and should not make decisions based on celebrity endorsements. Social media influencers are often paid promoters, not investment professionals, and the securities they’re touting, regardless of whether they are issued using traditional certificates or on the blockchain, could be frauds.”


Check Out the Latest Headlines


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Crypto Livewire

  • Malta AI & Blockchain Summit Handing Out 100 Free Booths to Startups
    February 14, 2019
  • Wirex Integrates Nano, Providing Seamless Spending Anywhere Visa Is Accepted
    February 12, 2019
  • MiningSky: The Cheapest, Profitable Cloud Mining
    February 7, 2019
  • Altcoin Fantasy OKCoin Contest
    February 4, 2019
  • Malta AI & Blockchain Summit
    January 24, 2019
Submit a Press Release
 
 

Around the web

Ads by Cointraffic Ads by Cointraffic

Spotlight

  • Deep Dive: Litecoin Founder Charlie Lee Explores Tech to Tackle Crypto Privacy
    February 5, 2019
  • Wall Street Strategist Reveals Bullish Bitcoin Forecast, Plus Ripple and XRP, Tron, Litecoin, Ethereum, Stellar, Cardano, IOTA: Crypto News Alert
    February 10, 2019
  • Bitcoin Breakthrough: Investors Can Now Buy Apple, Amazon and Google Stock Through Bitcoin Blockchain on Abra’s Crypto App
    February 6, 2019
  • Ripple Targets China’s $67 Billion Remittance Market, Plans to Open New Office in Shanghai
    February 2, 2019
Cryptocurrency news and analysis, covering Bitcoin, Ethereum, altcoins and the blockchain
  • Altcoins
  • Bitcoin
  • Blockchain
  • Crypto Livewire
  • Crypto101
  • Cryptoculture
  • Finance and Economy
  • HodlX
  • Mining
  • Regulators
  • Scams
  • Trading
DailyHodl

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT

 JOIN US ON TELEGRAM

COPYRIGHT © 2017-2019 THE DAILY HODL

We use cookies to give you the best online experience possible. By agreeing you accept the use of cookies in accordance with our cookie policy. I Accept