Kim Kardashian’s enrollment in the crypto world has given her headache with federal regulators.
The reality TV superstar has settled Securities and Exchange Commission charges that she failed to disclose a payment she received for promoting a crypto asset on her Instagram feed, the agency announced Monday morning.
“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, who is reportedly worth $1.8 billion, agreed to pay $1.26 million to settle the charges over promotion on Meta’s Instagram for EthereumMax’s crypto asset, the SEC said. She will also cooperate with an ongoing investigation and has agreed not to promote crypto securities for three years, the regulator added.
In a statement, 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.
