SEC fines influencers $400k for failing to disclose they were paid in real money to hawk fake currency

[jlw]

Originally published at: SEC fines influencers $400k for failing to disclose they were paid in real money to hawk fake currency | Boing Boing

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[gracchus]

Anyone doing paid endorsements for pyramid scheme scrip should be required to be compensated in it.

[spyramid]

Those are some serious fines. Can anyone explain why or point to a resource? Googling hasn’t gotten me far. It isn’t like people shilling pharmaceuticals, financial services, or I Can’t Believe It’s Not Butter have to take payment in those same forms. And is cryptocurrency a security? Not that I’m a crypto fanboy, this just seems like a huge consequence for something that does’t strike this uninformed person as an obvious no-no.

[snigs]

It’s a big deal if you are paid to do so, and don’t disclose that. If you say that you really like I can’t Believe It’s Not butter, you’re not going to cause the price to spike 10 or 100 fold, but in stocks, securities and crypto you can easily do that.

[fredtal]

I don’t blame Lohan for not knowing the financial disclosure for such a ad. I sure don’t know the details. But for sure her business manager and booking agent should understand. They are the ones who need to be fined.

[bobtato]

I’m just really afraid that this heartbreaking story will cause me to cry all the moisture out of my body