The United States Securities and Exchange Commission has sued eight celebrities, including actor Lindsay Lohan and social media influencer Jake Paul, for promoting crypto assets without disclosing that they were paid for them. do it.
In a press release Wednesday, the SEC said Lohan and Paul announced crypto asset stocks Tronix (TRX) and BitTorrent (BTT) without disclosing that they were compensated or how much they were paid. Musicians Soulja Boy, Austin Mahone, Lil Yachty, Ne-Yo and Akon, as well as actor Kendra Lust, have also been charged.
Soulja Boy and Mahone are the only two of eight who have not agreed to pay collective costs of more than $400,000 in restitution, interest and penalties to settle the charges, which do not constitute an admission or denial of guilt, said the SEC.
A rep for Lohan told BuzzFeed News that the actor was contacted in March 2022 and was unaware he had to reveal he had been paid for the promotion. She agreed to pay a fine to fix the problem.
The SEC is also charging crypto entrepreneur Justin Sun and his companies, Tron Foundation Limited, BitTorrent Foundation Ltd, and Rainberry Inc. (formerly BTT), for the “unregistered supply and sale” of TRX and BTT.