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Kim Kardashian wins EthereumMax lawsuit, as EMAX rises 6.24%

By Alara Jordan

16:02, 8 December 2022

Kim Kardashian on the red carpet
Kardashian was charged $1.26m to settle the claim by the Securities and Exchange Commission – Photo: Shutterstock

The class action lawsuit against Kim Kardashian and other celebrity endorsers over allegedly misleading fans to purchase cryptocurrency EMAX has now been dropped.

Kardashian, who promoted the EthereumMax token $EMAX on her personal Instagram accounts, disclosed that her promotion was an “advertisement” but did not inform her audience that she had been paid $250,000 to promote the cryptocurrency.

“Are you guys into crypto???”, Kardashian said on Instagram to her then 228 million followers. “This is not financial advice but sharing what my friends told me about Ethereum Max token.”

The Instagram post included a link to the EtheruemMax website with instructions on how to buy the cryptocurrency.


$1.26m settlement

The lawsuit against Kardashian was filed in January and claimed that the popular media personality used her fan base to boost the value of the EMAX token and dupe investors into what could be a potential crypto scam.


0.12 Price
-2.010% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872


377.05 Price
-2.820% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.50


0.63 Price
+6.500% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168


3,426.09 Price
-0.540% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

The price of the EMAX rose significantly in 2021, allegedly in relation to the promotion by Kardashian as well as other celebrity endorsers such as boxer Floyd Mayweather Jr.

However, a ruling of 7 December acknowledges the dismissal of the lawsuit, just two months after Kardashian was charged $1.26m (£1.12m) – a sum of $260,000 representing her original fee payment, plus a $1m penalty, to settle the claim by the Securities and Exchange Commission (SEC).

The ruling highlighted that the case raised concerns about the power of celebrities and the ease of influencing their fans to “buy snake oil with unprecedented ease and reach.”

The ruling said, “This action demonstrates that just about anyone with the technical skills and/or connections can mint a new currency and create their own digital market overnight.”

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EMAX token price

At the time of writing, the price of EMAX $0.000000001.75, and is up 6.24% in the last 24 hours.

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
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