WASHINGTON—Kim Kardashian will pay $1.26 million to settle regulatory allegations that she failed to disclose money she was paid for promoting a cryptocurrency to investors, the Securities and Exchange Commission said, the latest celebrity to face punishment over their crypto dealings.
The enforcement action shows how celebrities have benefited from crypto’s rise as an asset class targeted at individual investors—and how regulators want to make examples of famous people who they claim have flouted investor-protection laws to profit. Ms. Kardashian was paid $250,000 to hype EMAX tokens on her Instagram account, the SEC said.
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