Kim Kardashian is paying a $1.26 million fine to the Securities and Exchange Commission to settle civil charges after the reality TV star touted a crypto asset on her Instagram account.
Kardashian failed to disclose she was paid $250,000 to do the post.
The settlement includes a $1 million fine and forfeiting the $250,000 payment, plus interest. Kardashian is also using this opportunity to work with the SEC to education others about this disclosure issue.
Kardashian posted on June 13, 2021, “This is not financial advice but sharing what my friends told me about the ethereum max token!”
She added different hashtags, including #ad, along with #emax, #disrupthistory, and others. The #ad is not sufficient to comply with SEC laws in regards to touting investments according to the SEC.
Over the years I’ve shared numerous posts and have been interviewed dozens of times on this topic. If you’re an influencer and have questions about FTC and SEC requirements, especially in a web3 world (more stringent because of investments/securities), start here.
Over the years I’ve created and shared a few popular posts and videos to help influencers, agencies and brands make smart online business and marketing decisions. Based upon some of the conversations I have had this week on the new Clubhouse (audio only) platform, here are several posts everyone will find helpful. [see disclaimer as to all content shared at this website]
I’m a big fan of influencer and brand ambassador marketing. Having said that, it’s important everyone follow the rules.
On February 12, 2020, the Federal Trade Commission (FTC) indicated it’s going to crack down on making sure influencers, agencies, companies and brands, follow the rules and regulations when it comes to influencer marketing and advertising. Here are my thoughts on Commissioner Chopra’s comments and, several resources to help you and your team stay safe and sound.