Kim Kardashian has reportedly reached a $1.3 million settlement with the Securities and Exchange Commission. The reality star’s pricey settlement stems from her failure to disclose that she was paid $250,000 for an Instagram post touting crypto asset, EthereumMax.
“Ms. Kardashian is pleased to have resolved this matter with the SEC,” the reality star’s attorneys said, per CNN.
“Kardashian fully cooperated with the SEC from the very beginning and she remains willing to do whatever she can to assist the SEC in this matter. She 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.”
In addition to paying a $1.3 million fee to the SEC, Kim Kardashian has agreed to assist the federal entity in their ongoing investigation. Also, she has been banned from promoting any additional crypto securities on the social media platform for three years.
“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,” SEC Chair Gary Gensler said, per CNN.
“We encourage investors to consider an investment’s potential risks and opportunities in light of their own financial goals.”
