SEC warns famous crypto-currency backers

From BBC

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Celebrities, sports figures and social media stars have been warned by US regulators about endorsing crypto-currencies. Paris Hilton, boxer Floyd Mayweather and others have all publicly backed digital currency funding drives.

The Securities and Exchange Commission (SEC) said the endorsements could break laws on selling securities.
Those promoting crypto-currencies must say if they are being paid for the endorsement, it said.

In its official warning, the SEC pointed to the growing numbers of public figures who have talked about the funding drives, known as Initial Coin Offerings (ICOs), that crypto-currencies run to raise cash.

About 270 separate crypto-cash start-ups have sought funds via ICOs in 2017, said the New York Times. In total, the ICOs have raised more than $3bn (£2.27bn), it said.

The SEC said any virtual coins or tokens bought by investors through an ICO were subject to the same laws governing the sale of stocks and shares sold via mainstream stock markets.

Read more: http://www.bbc.com/news/technology-41845185

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Well it's a good thing I'm not famous. Now who wants to buy into my ICO?

Leave your thoughts in the comments below.

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