Two celebrities have been fined and banned, as a consequence of promotional work they did on initial coin offerings…
The American Securities and Exchange Commission (SEC) has been closing the new on cryptocurrency and ICO promotions and work that it finds itself unhappy with of late. And the latest to be on the receiving end of its fines? That’d be two relatively high profile celebrities who’s lent their name to cryptocurrency promotions.
Boxer Floyd Mayweather (pictured) and music producer DJ Khaled have agreed to pay between them just over $750,000 in penalties and fines to the SEC. They did so without admitting or denying the charges that were put before them.
Those charges related to a trio of initial coin offerings that they were accused of promoting. Promotions where they were charged with not disclosing the payments they received for doing so.
Both were paid by a firm called Centra Tech, and both in turn sent messages on their social media accounts bigging up the ICO that Centra was running. Mayweather was paid the most out of the pair, and thus he’s also having to stump up the lion’s share of the fine.
Mayweather furthermore has agreed to not promote any securities of any form for the next three years. In the case of Khaled, he’s banned from doing so for the next two years.
It’s not over for the pair, either. The US attorney’s office in New York is also pursuing charges against them both.
The full announcement from the SEC is available to read over at its website, here.