The SEC charges Lindsay Lohan, Jake Paul and others with illegally promoting crypto (2024)

FAQs

What celebrities are involved in the SEC crypto? ›

Lohan, Paul, Kendra Lust, Lil Yachty, Ne-Yo, and Akon were sued through administrative proceedings, while Mahone and Soulja Boy, along with crypto asset entrepreneur Justin Sun — the creator of TRX and BTT — and his companies were sued by the SEC in SDNY.

SEC asserts jurisdiction over Tron Founder Justin Sun amid lawsuit amendments. The SEC filed an amended complaint in its lawsuit against Tron founder Justin Sun, arguing that because he “traveled extensively” to the US, the case falls under the country's jurisdiction.

The Securities and Exchange Commission on Wednesday charged Lindsay Lohan, Jake Paul and several other celebrities with failing to disclose that they were paid to promote crypto. The celebrities agreed to pay $400,000, including fines, and return what they were paid for the promotion.

The Supreme Court has refused to entertain a petition seeking a direction to the Centre and others to frame guidelines for regulation of trading and mining of cryptocurrencies. Cryptocurrencies are blockchain-based digital or virtual currencies, which operate independently of a central bank.

Tom Brady, Gisele Bundchen and others were sued in November by an FTX investor for their endorsem*nt of the now-disgraced crypto platform, and then Brady and Ortiz were named again in early December in a similar lawsuit for their backing of FTX.

Sam Bankman-Fried, co-founder of the failed crypto exchange FTX, has been sentenced to 25 years in prison for defrauding customers and investors of his now-bankrupt firm.

Sam Bankman-Fried, the jailed founder of bankrupt cryptocurrency exchange FTX, is sworn in as he appears in court for the first time since his November fraud conviction, at a courthouse in New York, U.S., February 21, 2024 in this courtroom sketch.

The Infrastructure Investment and Jobs Act, which passed Congress in November of 2021, included a provision amending the Tax Code to require anyone who receives $10,000 or more in cryptocurrency in the course of their trade or business to make a report to the IRS about that transaction.

Cryptocurrency sales are regulated if they constitute the sale of a security under state or federal law. Securities law is primarily federal, and most of it stems from the Securities Act of 1933 and the Securities Exchange Act of 1934. However, there are some state laws that also regulate securities.

Can the government garnish your crypto? ›

Much like a bank account, garnishment of an account held at a U.S. cryptocurrency exchange is possible if proper procedures are followed.

The former FTX CEO has agreed to lend his support to a class-action lawsuit, filed by a group of FTX investors in November 2022, against a handful of celebrities, including Larry David, Tom Brady, Shaquille O'Neal, the Golden State Warriors, and Naomi Osaka, who endorsed the crypto exchange.

Eminem is the voice of a new TV advertisem*nt for Crypto.com. Since the unraveling of FTX, promoting crypto for a generous paycheck has fallen out of vogue.

For example, NBA Hall of Famer Paul Pierce and media personality Kim Kardashian agreed to pay civil penalties, disgorgement, and prejudgment interest totaling $1.35 million and $1.26 million, respectively, to settle charges that they touted crypto asset securities without disclosing the payments they received for the ...