SEC brings John McAfee to court over ICO promotion

Regulation

On Monday, the U.S. Securities and Exchange Commission filed suit against John McAfee for allegedly promoting initial coin offerings (ICOs) without disclosing that the ICO issuers were paying him, a violation of U.S. securities law.

Per the complaint: “From at least November 2017 through February 2018, McAfee leveraged his fame to make more than $23.1 million U.S. Dollars (‘USD’) in undisclosed compensation by recommending at least seven “initial coin offerings” or ICOs to his Twitter followers.”

The SEC mentions seven unidentified ICO issuers who privately communicated with McAfee’s team to get him to publicly endorse their ICOs in exchange for payment in those coins and in Bitcoin. This is illegal, and has previously previously provoked the commission to go after celebrities like DJ Khaled and Floyd Mayweather, who also promoted ICOs without disclosing their financial interests. 

The SEC’s complaint refers to a famous moment in McAfee’s long history of outlandish predictions for Bitcoin’s price. He ultimately walked back those predictions and claimed he had only been trying to draw public interest in BTC. 

Products You May Like

Articles You May Like

Court sets new deadline for Celsius restructuring plan
The End Of Crypto | My BlockFi Update
Top 3 Crypto to buy in December 2022 (INSANE Potential)
DXY bounces at major support, reducing Bitcoin’s chance at breaking the $17.2K resistance
New Cardano algorithmic stablecoin evokes old fears for the community

Leave a Reply

Your email address will not be published. Required fields are marked *