Man, I told my homeboys that anything about or related to cryptocurrency was a scam…
Anyways, remember all the of that “virtual money” rage a little while back? It seemed like everybody from Bitcoin to Ol’ Dirty Bastard (no, seriously) had paws in the pot. So Khaled, ever the salesman, signed on to promote Initial Coin Offerings. Problem was, he didn’t disclose the payments he received for promoting it.
As a result, the SEC hit Khaled today (Nov. 29) with a cryptocurrency fraud charge. As a result, he agreed to pay $50,000 in disgorgement, a $100,000 penalty and $2,725 in prejudgment interest.
He wasn’t the only one to have the alphabet boys coming for his wallet, too: Floyd Mayweather got taxed for 300,000 in disgorgement, a $300,000 penalty, and $14,775 in prejudgment interest. Both have also been ordered “not to promote any securities, digital or otherwise.”
Both investigations are still ongoing.