Reality TV star Kim Kardashian has settled Securities and Exchange Commission charges surrounding her failure to disclose payment she received for touting a crypto asset on her Instagram feed, according to media reports Monday.
Kardashian agreed to pay $1.26 million to settle the charges over a promotion on Meta’s Instagram for EthereumMax’s crypto asset, the SEC said in a news release and reported by CNBC. Kardashian, who is reportedly worth $1.8 billion, also will cooperate with an ongoing investigation, and has agreed not to promote crypto securities for three years.
“This case is a reminder that, when celebrities or influencers endorse investment opportunities, including crypto asset securities, it doesn’t mean that those investment products are right for all investors,” Gary Gensler, chairman of the SEC, said in a news release.
Kardashian neither admitted nor denied the findings by the SEC regulators.
In a statement reported by CNBC, a lawyer for Kardashian said she is pleased to have resolved the matter.
“Kardashian fully cooperated with the SEC from the very beginning and she remains willing to do whatever she can to assist the SEC in this matter. She wanted to get this matter behind her to avoid a protracted dispute. The agreement she reached with the SEC allows her to do that so that she can move forward with her many different business pursuits,” the statement said.