It should be noted that Kim’s EthereumMax ad also came to the attention of the US Securities and Exchange Commission this fall. In particular, in early October, representatives of the latter accused Kardashian of illegally advertising digital assets. Still, Kim received $250,000 for the advertisement, but did not disclose the fact that she had earned money.

Kardashian then agreed to pay $1.26 million. This amount consists of approximately $260,000 in total advertising revenue and a $1 million fine. In addition, the star was ordered to stop publishing about cryptocurrencies for three years.

Kim Kardashian

It’s worth noting that the ad-story, which is available below, stated that the information was allegedly not financial advice. However, this did not save the celebrity from a financial loss. Apparently, the publication was not worth it – also because of the fact that the ad was published on 15 June 2021. Accordingly, all these problems have been dragging on for quite some time.

What happens for advertising cryptocurrencies

Fitzgerald argued for the dismissal of the lawsuit by arguing that it was virtually impossible to prove the harm of specific celebrity promotional campaigns directly to the plaintiffs. In addition, investors should have “acted reasonably rather than making big bets under the influence of one-day trends”. Despite the rejection, Judge Fitzgerald noted that the plaintiffs could re-apply with amended claims.

EMAX rate at all times

Lawyers for the plaintiffs alleged that Celebrity colluded with crypto project co-founders Steve Gentile and Giovanni Perone to advertise and artificially increase the value of the token. Here is an excerpt from a complaint filed in the US District Court for the Central District of California.

Defendants touted the company’s prospects and the opportunity for investors to make significant profits through the favorable “tokenomics” of EMAX tokens. In fact, the Defendants promoted EMAX to investors only for the purpose of selling tokens themselves.

EMAX ad on Kim Kardashian’s Instagram

According to Decrypt’s sources, Kardashian has posted several promotional posts about EthereumMax to her 318-million-strong Instagram audience over the past year and a half. Floyd Mayweather actively promoted the project, including in 2021 during one of the cryptoconferences, for which he was actively criticised by the community.

😈 YOU CAN FIND MORE INTERESTING THINGS FROM US AT YANDEX.ZEN!

Another important trial in the US is the bankruptcy proceedings of major cryptocurrency lending site Celsius Network. Judge Martin Glenn this week ordered Celsius to pay back some $44 million in cryptocurrency.

Some 58,300 Celsius users held $210.02 million in assets using earnings and loan-to-value programmes. However, only 15,680 customers held about $43.87 million in what is known as “pure vaulting”. It is this latter group that, according to the bankruptcy court order, will get all the money back.

Celsius Network

Customers who moved funds out of interest rates into the “clean vault” after the company’s multiple financial problems became apparent – which is about 90 days before the platform declared bankruptcy on July 13 – are only entitled to up to $7,575 in capital repayments.

As a reminder, before the FTX collapse, Celsius Network’s problem was one of the biggest in the industry. The exchange must also have been closely linked to the platform in the past. All of this is to be found out in a separate legal battle already around FTX itself and its former CEO Sam Bankman-Fried.

We will next see him on 13 December. Sam Bankman-Fried today published a tweet agreeing to attend next week's House Financial Services Committee hearing. In doing so, the FTX founder stated that he allegedly does not have full knowledge of what happened, so will be limited in his statements. And it sounds like an obvious attempt to cover up and shift the blame on representatives of the trading company Alameda Research, which he founded. One would like to believe that representatives of the law will be able to find inaccuracies in Sam's statements and hold him accountable.

FTX founder Sam Bankman-Fried


This situation should be a reminder that a certain celebrity's association with a cryptocurrency project does not guarantee earnings from the latter. Accordingly, investors still need to do their own research and invest in what they understand. Well, investing in a HYIP is likely to lead only to financial losses.


Stay tuned for more developments in our millionaires’ cryptochat. There we will discuss other important developments affecting the cryptocurrency industry.