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Reality star Kardashian: Trouble with the judiciary
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David Livingston / Getty Images
Reality TV star Kim Kardashian and ex-boxer Floyd Mayweather Jr.
make a good chunk of their money with advertising.
However, their use of two cryptocurrencies could now have expensive consequences for the two of them.
Because investors feel duped by false promises.
The lawsuit was initiated by an investor from New York who had lost money with the crypto currency Emax.
Many other victims who had bought Emax tokens from mid-May to the end of June 2021 joined the proceedings later.
They ask for their losses to be reimbursed and for the profits made by Kardashian and Floyd Mayweather Jr. to be siphoned off.
They accuse the stars of fueling the sale of EthereumMax and Emax tokens and thus benefiting from the rising price of cryptocurrencies "at the expense of their followers and investors".
"Company executives who work with several celebrities have made false or misleading statements about EthereumMax using social media and other promotional activities," the lawsuit said.
Kardashian advertised EthereumMax in a post on Instagram in June 2021.
At that time, 250 million fans followed her on the channel.
"Are you into crypto?" She asked in the post, followed by the sentence "This is not financial advice."
She just wanted to share "what my friends have just told me".
According to the lawsuit, she added the hashtag #AD to show that the post was a paid advertisement.
Mayweather, in turn, advertised EthereumMax on his boxing pants during a highly regarded fight with YouTube star Logan Paul in June.
So far, neither Kardashian nor Mayweather have made any public statements.
Crypto miner EthereumMax, however, vigorously denied the allegations.
"The complaint is riddled with false information about the EthereumMax project," said a written statement from the company.
"We deny the allegations and look forward to the truth coming to light."
mik / Reuters
