Monday, January 30, 2023
BitWolf
  • Home
  • Cryptocurrency
  • Blockchain
  • Nft & Metaverse
  • Market
  • Bitcoin
  • Ethereum
  • More
    • Solana
    • Litecoin
    • Dogecoin
  • Live Prices
No Result
View All Result
No Result
View All Result
BitWolf

Was the cryptocurrency Kim Kardashian promoted a pump and dump? Some investors think so

bitwolf by bitwolf
October 3, 2022
in Cryptocurrency
0 0
0
Home Cryptocurrency


On June 14, 2021, Kim Kardashian promoted a little-known crypto firm known as EthereumMax to her 225 million Instagram followers. “Are you guys into crypto?” she requested.

Per week later, the value of EthereumMax, or EMAX , had fallen 50% and the amount of commerce within the token had dropped by almost 75%. The worth of the coin by no means recovered, so anybody who adopted Kardashian’s recommendation, misplaced a bundle.

The fact present star’s put up was the final of a number of celeb endorsements EMAX had relied upon to drive up the value of the coin that they had launched in Could of 2021, in line with a category motion lawsuit filed in federal courtroom in California by quite a few buyers.

The go well with claims that the corporate’s founders made large earnings after cashing out proper as costs jumped following on-line endorsements by Kardashian, former NBA star Paul Pierce and retired boxing champ Floyd Mayweather. 

The buyers say they solely purchased EMAX after studying of it by way of the publicity introduced by Pierce, Mayweather and Kardashian’s endorsements.

“The deceptive promotions and celeb endorsements have been in a position to artificially enhance the curiosity in and value of the EMAX Tokens throughout the related interval, inflicting buyers to buy these shedding investments at inflated costs,” the go well with argues. 

Attorneys for EthereumMax’s co-founders, Steve Gentile and Giovanni Perone, didn’t instantly reply to calls looking for remark.

The go well with additionally names Kardashian, Mayweather and Pierce as co-defendants. All three have filed motions to have them faraway from the go well with, arguing that they had no position in how the token was issued, offered or managed. The founders of EthereumMax have additionally sought to have the case dismissed, though a decide has but to rule on any of the motions.

Messages left with the legal professional who filed the go well with, John Jasnoch, weren’t instantly returned.

On Monday, Kardashian reached an settlement with the Securities and Trade Fee to pay a $1.26 million nice associated to her EMAX endorsement, which the company mentioned didn’t correctly disclose that she had been paid $250,000 to advertise.

Kardashian neither admitted, nor denied the findings, and her lawyer, Michael Rhodes, mentioned in an announcement that she absolutely cooperated with the SEC investigation and that the SEC settlement permits her to “transfer ahead together with her many various enterprise pursuits.”

The motion shines a light-weight on what had been a comparatively widespread advertising and marketing ploy for cryptocurrency issuers to deliver consideration to their tokens. The SEC has moved to clamp down on the apply, equally fining celebrities like Steven Seagal, DJ Khaled, and even Mayweather beforehand, for failing to clarify that they had been paid to advertise varied crypto currencies.

Within the class motion go well with in opposition to EMAX, Kardashian’s legal professional has argued that his consumer had no monetary stake within the firm, and that her position within the matter amounted to only two Instagram posts which she had marked as being ads.

Her legal professional didn’t instantly return a name for remark.  

Legal professionals for Mayweather and Pierce have equally argued that their shoppers had no precise roles in how EMAX was operated and other than amassing an endorsement payment, had no monetary connection to the corporate. Their attorneys additionally didn’t instantly return requires remark.

The go well with famous that Mayweather had engaged extra extensively with EMAX throughout the run up and promotion to his exhibition match with influencer Jake Paul in June 2021, not lengthy after the coin was launched. EMAX was at one level marketed as the one cryptocurrency that might be accepted to purchase tickets to the struggle, the go well with mentioned.

The lawsuit additionally cited a Tweet made by Pierce through which he claimed he made extra money in a month investing in EMAX than he made whereas working as a commentator for ESPN.

The go well with additionally cited a survey performed by the agency Morning Seek the advice of, which discovered that 19% of individuals polled who had been conscious of Kardashian’s promotion of EMAX, truly bought the token. 



Source link

Related

Tags: CryptocurrencydumpInvestorsKardashianKimPromotedpump
ShareTweetShare
bitwolf

bitwolf

Next Post
Binance signs MoU with Kazakhstan to fight financial crime

Binance signs MoU with Kazakhstan to fight financial crime

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Bitcoin Holds Above $17K Despite DCG Uncertainty – CoinDesk

Bitcoin Holds Above $17K Despite DCG Uncertainty – CoinDesk

January 10, 2023
Bitcoin community not happy with Peter Zeihan’s criticisms on Joe Rogan podcast

Bitcoin community not happy with Peter Zeihan’s criticisms on Joe Rogan podcast

January 10, 2023
MULN Stock: Mullen Is the New Dogecoin… Without Any of the Fun

MULN Stock: Mullen Is the New Dogecoin… Without Any of the Fun

January 22, 2023
Why Polygon could play a key role in mass blockchain adoption despite MATIC’s…

Why Polygon could play a key role in mass blockchain adoption despite MATIC’s…

January 10, 2023
Trezor and Wasabi Join Forces To Make Bitcoin More Private

Trezor and Wasabi Join Forces To Make Bitcoin More Private

5
Bitcoin could become the foundation of DeFi with more single-sided liquidity pools

Bitcoin could become the foundation of DeFi with more single-sided liquidity pools

1
DOGE Proponents Express Hope And Concerns Related To Dogecoin-Ethereum Bridges

DOGE Proponents Express Hope And Concerns Related To Dogecoin-Ethereum Bridges

0
Petrousus Token Set to Top the Cryptocurrency Market Like Uniswap and Solana

Petrousus Token Set to Top the Cryptocurrency Market Like Uniswap and Solana

0
Bitcoin, Ether extend gains; Solana leads among top 10

Bitcoin, Ether extend gains; Solana leads among top 10

January 30, 2023
Bitcoin adoption of Guatemalan merchants grows one BTC tattoo at a time

Bitcoin adoption of Guatemalan merchants grows one BTC tattoo at a time

January 30, 2023
Dr. Peter Kudera promotes Blockchain Technology as a solution of the Global Financial Crisis

Dr. Peter Kudera promotes Blockchain Technology as a solution of the Global Financial Crisis

January 30, 2023
China’s step towards cryptocurrency regulations – Cryptopolitan

China’s step towards cryptocurrency regulations – Cryptopolitan

January 30, 2023

Recent News

Bitcoin, Ether extend gains; Solana leads among top 10

Bitcoin, Ether extend gains; Solana leads among top 10

January 30, 2023
Bitcoin adoption of Guatemalan merchants grows one BTC tattoo at a time

Bitcoin adoption of Guatemalan merchants grows one BTC tattoo at a time

January 30, 2023
Dr. Peter Kudera promotes Blockchain Technology as a solution of the Global Financial Crisis

Dr. Peter Kudera promotes Blockchain Technology as a solution of the Global Financial Crisis

January 30, 2023

Categories

  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Dogecoin
  • Ethereum
  • Litecoin
  • Market & Analysis
  • Nft & Metaverse
  • Solana
  • Uncategorized

Tags

Big Binance Bitcoin Blockchain BNB BTC Cardano Coin Cointelegraph crypto Cryptocurrency Data DOGE Dogecoin ETH Ethereum Exchange eyes FTX Heres Inu Investors Latest Litecoin LTC Magazine market merge News NFT NFTs Polygon price rally Shiba SOL Solana Today token Top Trading Tweet Web3 Week XRP

© 2022 BitWolf All Rights Reserved

No Result
View All Result
  • Home
  • Cryptocurrency
  • Blockchain
  • Nft & Metaverse
  • Market
  • Bitcoin
  • Ethereum
  • More
    • Solana
    • Litecoin
    • Dogecoin
  • Live Prices

© 2022 BitWolf All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In