NBA hall of famer Paul Pierce to pay SEC $1.4M for undisclosed promotion of EMAX
Former NBA player Paul Pierce has been fined $140 by the U.S. Securities and Exchange Commission (SEC) for undisclosed promotion of the unregistered security token Ethereum Max (EMAX), according to a statement on Feb. 17. agreed to pay $9,000.
SEC Said The NBA star received $244,000 worth of EMAX tokens to promote the token on Twitter. The financial regulator added that the NBA star has made false and misleading publicity statements about crypto assets.
“Investors have a right to know whether security publicity is unbiased, and Pierce did not disclose this information,” said SEC Commissioner Gurbir Grewal.
According to financial watchdogs, Pierce violated the anti-selling and anti-fraud provisions of federal securities laws.
The former NBA star has neither confirmed nor denied the SEC’s findings.
Pierce has agreed not to promote cryptocurrency securities for three years, according to a statement.
Commenting on the indictment, SEC Chairman Gary Gensler said:
“When celebrities endorse investment opportunities involving cryptocurrency securities, investors should carefully research whether the investment is right for them and know why the celebrities are endorsing them. .”
The SEC has previously indicted American celebrity Kim Kardashian for promoting the same token. Kardashian paid a fine of $1.26 million to settle his claims.
