Sydney, 2022-01-11 19:45:33. Kim Kardashian and Floyd Mayweather sued over cryptocurrency
LOS ANGELES – Reality TV star Kim Kardashian and boxing legend Floyd Mayweather Jr are facing a lawsuit alleging that celebrities misled investors in promoting the cryptocurrency token.
The lawsuit, filed Jan. 7 in federal court in Los Angeles, alleges that celebrities promoted the tokens sold by EthereumMax, or EMAX, in order to increase their price and make a profit for themselves “at the expense of their followers and investors.”
“Executives of the company, who collaborate with several famous promoters … have made false or misleading statements about EthereumMax through social media advertising and other promotional activities,” the lawsuit reads.
According to the lawsuit, in June 2021 Kardashian promoted an EthereumMax post on Instagram, when she had 250 million followers.
“Are you guys into crypto?” She wrote in the post, followed by a disclaimer “This is not financial advice,” but wanted to share “what my friends just told me” about EthereumMax tokens. The lawsuit said it included the hashtag #AD to show that the post was paid advertising.
Mayweather promoted EthereumMax on his boxing shorts during a widely seen fight with YouTube star Logan Paul in June, among other times.
Representatives for Kardashian and Mayweather did not immediately respond to requests for comment.
EthereumMax is also named in the lawsuit.
“The deceptive narrative associated with recent allegations is riddled with misinformation about the EthereumMax project,” EthereumMax said in a statement. “We oppose the allegations and look forward to revealing the truth.”
The lawsuit, filed by a New Yorker who bought EMAX tokens and lost money, is being proposed as a class action suit for anyone who bought EMAX tokens from mid-May to late June 2021.
The case seeks to compensate the defendants for the profits and dispose of them.
(Reporting by Lisa Richwin; Editing by Karishma Singh)
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