Lindsay Lohan, Akon and Ne-Yo Fined Thousands of Dollars After Illegal Promotion of Cryptocurrencies | US News

Actress Lindsay Lohan, rapper Akon and singer Ne-Yo were forced to pay tens of thousands of dollars to settle allegations that they promoted cryptocurrency investments to their social media followers without disclosing they were paid to do so.

The group of celebrities, which also included rapper Lil Yachty, boxer and Internet personality Jake Paul and adult film actress Michelle Mason, agreed to pay more than £325,000 ($400,000) to the Securities and Exchange Commission ( SEC) of the United States.

Celebrities have been paid to promote crypto Tronix and BitTorrent companies to their millions of social media followers.

Akon, artist, president and co-founder of Akoin speaks at the Web Summit, in Lisbon, Portugal November 6, 2019. REUTERS/Pedro Nunese

None of the celebrities who paid fines admitted or denied the SEC findings.

Two other well-known figures, rapper Soulja Boy and pop singer Austin Mahone, have not reached a settlement with the SEC.

A spokesman for Mrs. Lohanwhich he announced she was pregnant last week, it said the actress was contacted in March 2022 and at the time was unaware of the requirement to disclose payment for the promotion and agreed to pay a fine.

She repaid the £8,141 ($10,000) she had been paid plus interest and paid a £24,425 ($30,000) fine.

Representatives of the other celebrities declined to comment or did not respond to requests for comment.

Prominent public figures including Matt Damon, Tom Brady, and Reese Witherspoon have used their influence and massive social media following to promote cryptocurrencies in recent years.

But it is illegal to do so without disclosing that they are being paid.

To know more:
Decision on Britcoin digital pound expected by 2025
Biggest Year Ever for Cryptocurrency Hacking, with North Korea Suspected as the Culprit
Treasury reveals proposals to regulate cryptocurrency

This has landed some big names in trouble with US regulators.

Reality TV star Kim Kardashian agreed to pay a £813,635 ($1 million) fine last year to settle federal charges after she recommended Ethereum Max tokens without disclosing she was paid to do so.

Actor Steven Seagal was banned from promoting investments for three years and forced to pay a £244,102 ($300,000) fine as part of a similar settlement in 2020.


Leave a Reply

Your email address will not be published.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

GreenLeaf Tw2sl