EMAX token goes up 123% after Kim Kardashian fined for token advertisement

The star violated Securities and Exchange Commission rules by failing to disclose the amount of the payout for mentioning the asset

05.10.2022 - 15:05

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What’s new? The EthereumMax token (EMAX) rose 123% to $0,000000009587 from October 3 to 4. This came after the US Securities and Exchange Commission (SEC) fined American star Kim Kardashian $1,26 million on October 3 for mentioning EMAX on her Instagram. Kardashian violated the agency's rules by failing to disclose that it was an advertisement. She was paid $250 000 for the social media post. As of October 5 at 13:40 UTC, EMAX is trading at $0,00000000555, down 7,55% in 24 hours, according to CoinMarketCap.

The SEC's resolution

What is known about EMAX? It is a token running on the Ethereum and Arbitrum blockchains, launched by anonymous developers in 2021. Last May, the price of EMAX hit an all-time high (ATH) of $0,00000092 after an advertising campaign and social media influencers. The price then quickly plummeted by 99% and has not recovered since. The token is only available on decentralized exchanges (DEX) and single second-tier trading platforms.

In August, Truth in Advertising, a non-profit consumer advocacy organization, accused 19 stars of promoting NFTs without mentioning that it was paid advertising. The letters calling for the disclosure of financial ties to the projects were received by rappers Eminem and Snoop Dogg, sports stars Floyd Mayweather and Tom Brady, and actresses Gwyneth Paltrow and Reese Witherspoon, among others.

Read more about EMAX and the fine of Kardashian and other stars in GetBlock Magazine's article.

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