#SECCryptoRegulation

Celebrities’ SEC Charges vs How Much They Were Paid

One of the factors that determined how much the SEC charged celebrities was the estimated amount that each celebrity received, in exchange for promoting the cryptocurrencies on their social media. The multiplier used to decide the settlement charges varied, depending on each case.

were charged at around 4.07 times of what they were paid for posting one tweet each. For example, Lindsay Lohan was found to have received $10,000 for tweeting about JUST (JST), Sun Token (SUN) and TRON (TRX). As a result, Lindsay Lohan’s settlement charges to the SEC amount to $40,670.

In the EMAX case, Paul Pierce posted multiple tweets and was charged at 5.77 times of the amount he was paid for the crypto promotions. Kim Kardashian was charged 5.04 times the amount she was paid for one post, likely due to her significantly larger social media reach with around 225 million Instagram followers. In comparison, the other celebrities’ Twitter following were only in the millions range.

the 2018 ICOs case, Floyd Mayweather was charged 2.05 times the amount he received for the endorsements, while DJ Khaled was charged 3.05 times of how much he was paid.