Tag: Influencers

Securities Fraud Charges Dropped Against Influencers Accused of Stock Manipulation

A federal judge has dismissed all charges against seven social-media influencers the SEC and Justice Department had accused of perpetrating a “stock manipulation scheme” on Twitter and Discord. On Wednesday, March 20, U.S. District Judge Andrew S. Hanen of the District Court for the Southern District of Texas dismissed all charges against the defendants, ruling that the government failed to…

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SEC.gov | SEC Charges Van Eck Associates for Failing to Disclose Influencer’s Role in Connection with ETF Launch

The Securities and Exchange Commission today announced that registered investment adviser Van Eck Associates Corporation has agreed to pay a $1.75 million civil penalty to settle charges that it failed to disclose a social media influencer’s role in the launch of its new exchange-traded fund (ETF). According to the SEC’s order, in March 2021, Van Eck Associates launched the VanEck…

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SEC Charges Additional Social Media Influencer in Stock Manipulation Scheme

On May 25, 2023, the Securities and Exchange Commission brought partially settled charges against Francis Sabo (also known as “Ricky Bobby”) in a $100 million securities fraud scheme in which Sabo, along with several other defendants previously charged by the Commission in December 2022, used social media platforms to manipulate exchange-traded stocks. According to the SEC, since at least January…

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YouTube Influencers Slapped With $1 Billion Lawsuit for Promoting FTX

A group of investors who did business with defunct cryptocurrency exchange FTX brought a class action lawsuit against multiple internet influencers Wednesday, alleging the content creators pushed unregistered securities on their viewers and followers while promoting the collapsed exchange. The lawsuit seeks over $1 billion in damages and was brought against content creators that reached millions online, including BitBoy Crypto…

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FTX prompts surge in influencer, citizen journalism on Twitter, Substack – The Washington Post

The story of how Sam Bankman-Fried, the 30-year-old founder of the crypto exchange FTX, misused billions of dollars while charming the media and becoming a darling of Washington, hasn’t upended just the crypto ecosystem. It has also served as a watershed moment for the business-news landscape, making a group of internet influencers go-to sources for people hungering for news of…

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How Influencers Hype Crypto, Without Disclosing Their Financial Ties – The New York Times

In some cases, promoters like Mr. Paul have admitted that they failed to disclose personal or financial ties to projects advertised on their feeds, a potential violation of federal marketing regulations. And even before the crypto market’s recent downturn, a series of these influencer-backed ventures had crashed spectacularly, hurting amateur traders and prompting lawsuits that could force some celebrities to…

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