Kim Kardashian Sued in Crypto Pump and Dump Case

Kim Kardashian is among three celebrities being sued by investors in the EthereumMax Crypto-currency. Other defendants include boxer Floyd Mayweather Jr, basketball player Paul Pierce, and the currency’s creators. The legal action alleges the celebrities collaborated with EthereumMax to “misleadingly promote and sell” the Crypto-currency.

EthereumMax said it disputed the allegations and looked forward to the truth coming out. The complaint filed with the Central District Court of California alleges the “company’s executives, collaborating with several celebrity promoters” made “false or misleading statements to investors about EthereumMax, through social-media advertisements and other promotional activities”.

The defendants “touted” the ability of “investors to make significant returns”, it alleges, resulting in an artificial increase in the price of the Crypto-currency, “causing investors to purchase these losing investments at inflated prices” and, in turn, enabling the executive staff of EthereumMax named in the legal action to “sell their EMax tokens to investors for a profit”.It alleges former National Basketball Association (NBA) player Mr Pierce promoted EthereumMax in a “widely discussed” post on Twitter, in May 2021, “praising EthereumMax’s ability to make money for him”.

EthereumMax started to use former world champion Mr Mayweather’s boxing match with YouTuber Logan Paul to promote the Crypto-currency. Mr Mayweather is said to have also promoted EthereumMax at a Crypto-currency conference.The claim names as plaintiffs in the case those who invested between 14 May and 27 June 2021 and were “damaged thereby”.EthereumMax denied the claims.