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Kim Kardashian’s $1.26 million crypto ticket

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The Securities Exchange Commission (SEC) has charged $1.26M to Kim Kardashian for social media promotion of a cryptocurrency offered by EthereumMax (EMAX).

Kim Kardashian failed to disclose the payment she received for promoting EMAX.

Ryan Huegerich and many other claimants filed a class-action lawsuit against Kim Kardashian, Floyd Mayweather Jr, and Paul Pierce in a California district court, for promoting an Ethereum knockoff, Ethereum Max (EMAX), according to a lawsuit filed on January 7.

At least, “not financial advice” is not a disclaimer of promoting crypto of any kind.

Kim’s influence did make the unknown token become an investment asset as a result:

A striking 19% of respondents who said they heard about the post invested in EthereumMax as a result.

And she claimed to make more money than an entire season of her reality television show that further demonstrating her involvement in the promotion marking:

While it is unclear what the precise terms of the financial compensation that Defendant Kardashian was given by the Executive Defendants, Defendant Kardashian routinely gets paid between $300,000 and $1 million for most promotional posts.

What is EMAX?

According to the filed lawsuit,

EthereumMax has no connection to the second largest cryptocurrency, Ethereum. This name association appears to be an effort by the Company and the Executive Defendants to mislead investors into believing that the EMAX Tokens were a part of the Ethereum network (when they are not). It would be akin to marketing a restaurant as “McDonald’sMax” when it had no affiliation with McDonald’s other than the name similarity and the fact that both companies sell food products.

EthereumMax is to build a robust and scalable ecosystem that fully maximizes the power of DeFi, creating a wide range of products for our community that encompasses everything from a deflationary token and a core stablecoin for processing payments to curing edge NFTs and exclusive events for our community, according to its whitepaper.

Of course, it sounds just like BS. This type of token puts every buzz words together that means nothing.

The court document further approved this assumption:

In plain terms, EthereumMax’s entire business model relies on using constant marketing and promotional activities, often from “trusted” celebrities, to dupe potential investors into trusting the financial opportunities available with EMAX Tokens.

If you check their source code, no devs are working, and codes are forked from open-source codes as usual.

And after dumping and rug-pulling investors, the token majority still controlled by creator(s).

https://etherscan.io/token/tokenholderchart/0x15874d65e649880c2614e7a480cb7c9a55787ff6

Pump and Dump

Following the EMAX Token’s launch and Defendants’ promotional activities in May 2021, the trading volume and price of EthereumMax surged. By May 30, EMAX already had a transaction volume of over $100 million, up 632% in just two weeks. The day before, it reached its maximum price of $0.000000863, which represents a rise of 1,370% more than its initial price of $0.00000005875.

However, this meteoric rise did not last long, and EthereumMax began to deflate immediately after Defendant Kardashian’s post. On July 15, the price of the EMAX Token hit its all-time low: $0.000000017 per unit, a 98% drop from which it has not been able to recover. On August 1, its transaction volume plummeted to $157,423, which is less than a hundredth of its initial capital.

https://coinmarketcap.com/currencies/ethereummax/

The result is the price will never get recover.

Celebrities’ promotion of crypto in the future

This is to set a precedence for the SCE to prohibit celebrities and social influencers promote unsecured cryptocurrencies.

“This case is a reminder that, when celebrities or influencers endorse investment opportunities, including crypto asset securities, it doesn’t mean that those investment products are right for all investors,” said SEC Chair Gary Gensler. “We encourage investors to consider an investment’s potential risks and opportunities in light of their own financial goals.”

“Ms. Kardashian’s case also serves as a reminder to celebrities and others that the law requires them to disclose to the public when and how much they are paid to promote investing in securities,” Chair Gensler added.

“The federal securities laws are clear that any celebrity or other individual who promotes a crypto asset security must disclose the nature, source, and amount of compensation they received in exchange for the promotion,” said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement. “Investors are entitled to know whether the publicity of a security is unbiased, and Ms. Kardashian failed to disclose this information.”

Moral hazard or not, the SCE does make crypto space a better space.

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Crypto Research

When the economy is very bad

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Since the end of the Great Recession in 2009, the U.S. economy has undergone a period of rapid growth, almost non-stop. Today, the recovery is still going strong, with U.S. jobs numbers showing signs of improvement on Wednesday morning. And while it might seem like new opportunities have magically appeared overnight, there’s often a dark side to these blessings as well as a darker cloud looming over the horizon. When the economy is in bad shape, it can mean that people are less able to make ends meet and more prone to poverty. This is particularly true for low-income Americans who typically lack access to reliable jobs or who struggle to save for their future. Fortunately, there are a number of ways you can take action when the economy is really struggling and help fight against unemployment and inflation through smart financial planning and other measures that work for you personally and professionally.

When the economy is really bad

The U.S. economy has been in freefall since the beginning of the Great Recession. As a result, many businesses have closed or been forced to shutter their doors. If you’re one of these small businesses, you may be able to save a portion of your income by taking advantage of the tax breaks and deductions that big corporations and the wealthy use to gain an advantage over their competitors. For instance, if you own a chain of coffee shops or sell online, you can lower your taxable income by taking advantage of the lower federal income tax rate on coffee sales. And if you operate a medical facility and specialize in heart disease or cancer care, you can claim a lower Medicare care reimbursement rate than if you conduct medical research at a loss.

Set boundaries

If you want to avoid becoming a statistic, it’s critical that you set boundaries early. Start by saying no to everything that comes to mind when you think of the economy. No shopping, no skiing, no hiking, and so on. Limit your negative self-talk so that you don’t spend unnecessary time thinking negatively about others or yourself. “It’s not my problem, it’s yours,” you might say to yourself. Set boundaries so that you can focus on what’s working and what’s not working for your situation.

Make use of your tax dollars

If you have the means to do so, get involved with your local community or choose to operate a business located in a state with a target income tax rate lower than your state’s. This way, you won’t have to pay income taxes on the amount that would otherwise be held in your account. It can also be an excellent way to avoid paying income taxes on capital gains or foreign profits that you’ve made outside the U.S. or that you have income that can’t be used as a returns. Deducting your income taxes can be a great way to avoid having to pay significant amounts of taxes in the future. If you have the means to do so, get involved with your local community or choose to operate a business located in a state with a target income tax rate lower than your state’s. This way, you won’t have to pay income taxes on the amount that would otherwise be held in your account. It can also be an excellent way to avoid paying income taxes on capital gains or foreign profits that you’ve made outside the U.S. or that you have income that can’t be used as a returns.

Learn how to manage risk

As you begin to take control of your financial future, you’ll start to understand the various risks and rewards that come with managing your investments and money management products. When you have a plan for how and when you’re going to use your money, you’re better positioned to take a risk that could pay off in the long run. As a simple example, if you manage your money wisely, you might end up investing in a high-quality resource extraction company that can provide a long-term benefit to your community and country. When you start taking full responsibility for your own money management, you’re more likely to invest in high-quality resources that will provide a long-term benefit to your community and country.

Don’t put too much on crypto

Yes, you heard it. Crypto is speculative and do not put more than you afford to loss. When the economy is bad, crypto investment is a gamble. You want to make sure you have enough left for emergency spending rather than gambling!

Bottom line

The American economy is doing pretty well these days – perhaps even well enough to sustain the U.S. as the leading world economy for the next decade or more. If the economy continues to perform as well as it is right now, then we’re in good shape. However, when the economy isn’t doing well, then there’s always the shadow of a darker cloud that can cast a shadow of uncertainty over the future of millions of Americans. The best way to combat this is to set boundaries early and use your tax dollars to benefit your community and your state. Then, when the economy starts to tank, you can take action to keep your income tax rate as low as possible, and you can also take advantage of government tax breaks that lower your overall tax bill. With hard work and a little luck, you can achieve great things when the economy is in good shape.

**Not financial advisor…

Photo by Mehdi MeSSrro on Unsplash

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Crypto Research

Central bank is the mother of the crypto afterall

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As the old saying goes, “The hidden power of the government is to support or contravene the will of the people.” The central bank is no exception. In fact, it’s so powerful that it can even contravene the will of the people. That’s right: The Federal Reserve Bank President Bernanke has been able to control what money the central bank prints and how much interest it levies on those funds. This allows for a variety of strategies to combat inflation and other financial crises. However, all this power rests on a thin sword—the federal government. Because with so much power comes responsibility. What action will you take when your authority over money is challenged? When you see yourself VERSUS opponent as the central bank? Here’s why you should fight back.

What is the Federal Reserve Bank?

Friedan’s famous definition of power is “the ability to do or affect things which the rest of the world does or does not do.” It is the ability to controlling and influencing the financial and economic outcomes of others. In short, the central bank is the entity that has the power to control the flow of money and make or break a financial crisis. In that sense, the federal government is also the most powerful entity in all of reality: It’s the one who controls and decides what happens in the world around it.

The Federal Reserve Banks

The Federal Reserve Banks are the administrative agencies within the U.S. Department of the Treasury that create and manage the collective monetary asset of the United States. These include the Federal Reserve Banks of New York City, San Francisco, andChicago, as well as the Oklahoma City and Trenton-based state-run banks.

How the Fed Works

The federal government owns and regulates the creditworthy banks and financial institutions that compose the Federal Reserve System. Although the government owns a majority share of the banks that compose the system, each Federal Reserve Bank is independent. The federal government provides funding for each bank, but the banks are ultimately responsible for funding the federal debt. To achieve that, the banks have a series of mechanisms they use to fund the federal debt. The qualifying banks for the federal credit program include U.S. Mainland banks like Bank of America, Capital One, Citi, Wells Fargo, and Wells Fargo Bank. Additionally, the federal government provides funding for certain international banks that qualify because of their close relationship with the United States. These include international investment banks such as Morgan Stanley, Goldman Sachs, and Citigroup, as well as U.S.-based financial services companies like American Express, Citi, and Wells Fargo.

Why You Should Care

So, the Fed has the power to control and determine what happens in the world around it. The question is, how should you use that power? The answer is both simple and profound: If you use your power well, then everything will be fine. If you use your power poorly, then everything will be dark. In fact, it’s likely that the dark times ahead will be some of the most tense and challenging times in human history. That’s why it’s important to have the foresight and foresightfulness to prepare for them. In the words of the apostle Paul: “In the midst of temptation, occur the wise and prudent steps, which God permits us to take.”

How to Invade the Fed’s Territory

Banks are not the only entities that bank on the Federal Reserve System’s success. The global financial services industry is ready to Leverage if required to increase its exposure to the U.S. economy. That industry is particularly keen on increasing its exposure to creditworthy banks and financial institutions located in emerging markets. That’s why the Financial Services Regulatory Authority, which oversees the international banking industry, recently issued its “Go Big or Go Home” monetary policy.

The Future of Money and Banking

The financial services industry is not the only one ready to Leverage if the central bank does not step in. In fact, the entire financial services industry could soon become a target for financial leverage. That’s because the Federal Reserve has been using quantitative easing to help reduce the levels of high-interest debt, which accounts for one-quarter of all total credit ratings. How that is accomplished, the central bank doesn’t explain. But it can be done—and done effectively—when the need for more money is great and the need for more creditworthy banks and financial institutions is great.

Bottom Line

The financial services industry is ready to Leverage if the central bank does not step in. That industry is also ready to Go Big or Go Home if the central bank doesn’t step in. And that’s just in the developed world. The entire financial services industry could soon be a target for financial leverage. That’s because the Federal Reserve has been using quantitative easing to help reduce the levels of high-interest debt, which accounts for one-quarter of all total credit ratings. That’s why the central bank has been using quantitative easing to help reduce the levels of high-interest debt, which accounts for one-quarter of all total credit ratings. The financial services industry could soon become a target for financial leverage. And crypto may not able to escape.

Photo by GR Stocks on Unsplash

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Crypto Research

You need a Crypto debt management system

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As is the case with most big-ticket purchases, you need a system in place to manage your debt. Fortunately, there are a variety of ways to get started developing one. From building a personal budget to planning ahead for retirement, it’s possible to develop a sustainable and healthy financial model with the help of a debt management program. Regardless of your individual needs, it’s important to consider how your current relationship with money will be impacted by implementing a strategy that limits your debt. Having an accurate picture of your long-term financial goals is crucial when developing a strategy. Get started today by reading through these steps.

Get to know your combined debts

One of the most important steps in developing a debt management system is getting to know your combined debts. This includes everything from your home equity loan to your mortgage and other types of loans. This will allow you to get a clear picture of how much extra cash you’re willing to accept from your creditors in exchange for making smaller payments. It’s also a good idea to discuss your net worth and assets as part of this process. Having a clear picture of what you’re willing to pay in return for the right to make larger payments is crucial to building a sustainable financial model.

Define how much you’re willing to accept from your creditors

One of the most important steps in developing a debt management system is getting to know your combined debts. This includes everything from your home equity loan to your mortgage and other types of loans. This will allow you to get a clear picture of how much extra cash you’re willing to accept from your creditors in exchange for making smaller payments. It’s also a good idea to discuss your net worth and assets as part of this process. Having a clear picture of what you’re willing to pay in return for the right to make larger payments is crucial to building a sustainable financial model.

Plan for retirement, and then use that money for now

One of the most important steps in developing a debt management system is getting to know your combined debts. This includes everything from your home equity loan to your mortgage and other types of loans. This will allow you to get a clear picture of how much extra cash you’re willing to accept from your creditors in exchange for making smaller payments. It’s also a good idea to discuss your net worth and assets as part of this process. Having a clear picture of what you’re willing to pay in return for the right to make larger payments is crucial to building a sustainable financial model.

Develop a budget

One of the most important steps in developing a debt management system is getting to know your combined debts. This includes everything from your home equity loan to your mortgage and other types of loans. This will allow you to get a clear picture of how much extra cash you’re willing to accept from your creditors in exchange for making smaller payments. It’s also a good idea to discuss your net worth and assets as part of this process. Having a clear picture of what you’re willing to pay in return for the right to make larger payments is crucial to building a sustainable financial model.

Use debt management tools

One of the most important steps in developing a debt management system is getting to know your combined debts. This includes everything from your home equity loan to your mortgage and other types of loans. This will allow you to get a clear picture of how much extra cash you’re willing to accept from your creditors in exchange for making smaller payments. It’s also a good idea to discuss your net worth and assets as part of this process. Having a clear picture of what you’re willing to pay in return for the right to make larger payments is crucial to building a sustainable financial model.

Conclusion

Developing a debt management system is an important and costly business. The best way to start is with a realistic budget. You can rest a little bit easier knowing that you have a plan for how to use the money you have.

Photo by Deva Darshan on Unsplash

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