As Gizmodo explains, the plaintiffs accuse the defendants of perpetrating a “pump and dump” scheme, in which investors sell their shares to make big bucks after orchestrating a rise in its value. The lawsuit claims the coin rose 632 percent in value after Mayweather and Pierce promoted it - the boxing star wore shorts with the URL EthereumMax during his exhibition match with Logan Paul, while Pierce tweeted. on it.
Meanwhile, Kardashian posted to EthereumMax on Instagram Stories, telling followers he heard about it from his friends and linking to his website. According to Morning Consult, 19 percent of respondents who said they heard about Kardiashian's post invested in EthereumMax as a result. The lawsuit claims that the day after Kardashian's post, the token's value plummeted by 98%. Furthermore, the creators of the coin allegedly sold their shares before the price fell, as evidenced by their portfolio assets.
Celebrities have been promoting cryptocurrency tokens for some time and also creating their own. This is not the first or last time they will be involved in disputes involving a token - Mayweather, for example, was charged by the Securities and Exchange Comission in 2018 for failing to disclose that he was paid $ 100.000 to promote the offer. coin initial of Centra Tech in 2017. Two of Centra Tech's founders were arrested for stock and online fraud, with the SEC accusing them of "propagating non-existent relationships between Centra and well-known financial institutions" in an attempt to entice people to invest in the ICO.
In order not to fall victim to scams, we advise you to always use safe and reliable platforms such as Bitcoin Revolution, which only list the best cryptocurrencies in the world. With this type of software, you will be able to trade online like real professionals, but with very simple tools to use. Furthermore, it will be possible to start investing in cryptocurrencies, with a minimum investment of $ 250.
Cryptocurrencies have revolutionized the world of economics and investment, offering a decentralized alternative to traditional…
Milkomedia-C1 announced the integration of the DJed stablecoin network on its platform. Milkomeda C1, a…
Cryptocurrencies have gained immense popularity over the last decade, attracting investors from all over the world. However,…
The former cryptocurrency exchange FTX was based in the Bahamas. The island nation has not been…
As Shiba Inu adoption skyrockets, the memecoin and the entire Shiba ecosystem…
The adoption of digital currencies such as Bitcoin has continued to grow unabated. Many…