The Commission on securities and exchange Commission (SEC), the United States accused the world Boxing champion Floyd Mayweather (Floyd Mayweather) and popular hip-hop artist DJ Khaled illegal promotion campaigns for the initial placement of tokens (ICO).
According to the news edition of CCN, the two celebrities were periodically placed in social networks advertising announcement ICO. Some of these campaigns were determined by the Commission as illegal sale of securities. Neither Khaled nor Mayweather has not recognized that all of their published posts were paid for by customers.
However, the two celebrities have agreed to return misappropriated assets to pay fines and deductions for SEC. In addition to cash payments Mayweather and Khaled are required to refrain from promoting any sales of the securities within three and two years, respectively.
“Investors need to be skeptical of such advertising posts on social networks and not to make decisions based on the advertising contracts with celebrities,” said Deputy head of the Department on the implementation of legislation SEC Peikin Steven (Steven Peikin). “Influencer in social networks often disburse advertising specialists. These people are not professional investors, and securities that they advertise, regardless of their nature, can turn out to be fraudulent.”
Mayweather and Khaled was also named among the defendants in the trial for unlawful conduct ICO company Centra Tech. Representatives of the SEC connect the founders of this company fraud, and the campaign was recognized as the sale of unregistered securities.
Recall that in June, Facebook confirmed its policy with respect to advertising related to the ICO: it is still banned along with the advancement of binary options. Also in June, a similar ban imposed by Google.
