Lindsay Lohan and Jake Paul Charged for Undisclosed Crypto Promotions

US Regulators Charge Lindsay Lohan and Jake Paul are amongst 8 celebrities for Failing to Disclose Paid Promotion of Cryptocurrencies

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The US Securities and Exchange Commission (SEC) has charged eight celebrities for promoting crypto tokens without disclosing they were paid to do so.

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Among the charged celebrities are actress Lindsay Lohan and YouTuber Jake Paul.

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The SEC claims that the celebrities used their social media platforms to promote TRX and BTT crypto assets without disclosing their compensation

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Crypto investor and diplomat for Grenada, Justin Sun, is also accused of fraud for manipulating trading activity of the two tokens and orchestrating a promotional campaign with the celebrities.

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Sun's companies, Tron Foundation Limited, BitTorrent Foundation Ltd, and Rainberry Inc, are also charged as part of the scheme.

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The celebrities, apart from Soulja Boy and Austin Mahone, have paid a combined total of over $400,000 to settle the charges.

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Lohan paid $10,000 to the SEC and an additional $30,000 in penalties. Paul was ordered to pay over $100,000.

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SEC Chair Gary Gensler warns investors of the high risk when crypto assets are sold without proper disclosure.

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