Breaking: US SEC charges Paul Pierce, NBA star, with Crypto Violation
Paul Pierce SEC Settlement: On Friday, the US Securities and Exchange Commission (SEC), announced that Paul Pierce, a former NBA player, was facing charges for crypto violations. He was accused of endorsing EthereumMax tokens (EMAX) on social media, without providing relevant disclosures. The SEC claimed that the former player made misleading and false promotional statements about EMAX. Pierce settled the charges by paying $1.409 million in interest, penalties, and disgorgement.
Also read: Is the Binance FUD real? On-Chain Data Shows Massive Bitcoin Inflow and Outflow
Paul Pierce is accused of promoting the EMAX tokens via Twitter after receiving $244,000 in EMAX tokens. According to the statement from the SEC, he did not disclose that he had received the tokens in return for promoting it. Gary Gensler, Chair of the SEC, stated that celebrities should be reminded by the charges. He said that influencers must disclose the details of any rewards they receive while promoting crypto assets.
“The law requires that you disclose to the public who and how much you are being paid to promote investment in securities. Investors can’t believe you’re promoting a security.”
Just a week ago, Kraken, a crypto exchange, was charged with failing to register its crypto-staking service. Kraken agreed to a settlement agreement with the SEC that would see Kraken cease using its staking service and pay $30 million in disgorgement and prejudgment interests and civil penalties.
Also read: Macro Headwinds to Eat Up Bitcoin (BTC), Price Gains Through Weekend
About the author
The content presented may contain the author’s personal opinion and is subject to market conditions. Before investing in cryptocurrency, do your market research. The publication or the author are not responsible for any financial loss.