Nobody gets away with fraud in the SEC’s eyes. The latest pair to be hit with SEC charges include pro-boxer Floyd Mayweather and music producer DJ Khaled.
SEC Charges Mayweather and Khaled
The Securities and Exchange Commission charged the pair with the improper promotion of initial coin offerings or ICOs for cryptocurrencies. Neither party revealed to investors that they were, in fact, paid large sums of money to promote certain ICOs.
According to CNBC, a settlement announced Thursday disclosed the charges. According to the settlement, Mayweather never spoke of a $100,000 promotional payment from crypto firm Centra Tech Inc. Khaled was a similar situation, with a $50,000 promotional fee for the same coin.
Twitter Promotion
With statements about Centra Tech to his Twitter followers such as it “starts in a few hours. Get yours before they sell out, I got mine,” and “You can call me Floyd Crypto Mayweather from now on,” Mayweather is being charged for touting violations. Similarly, DJ Khaled called the ICO a “game changer” to his followers.