- Actor Steven Seagal has been fined and suspended from investment promotions
- This comes after he promoted a cryptocurrency venture without disclosing compensation
- Seagal had earned $1 million in benefits from the advert, which he shared with thousands on social media
PAY ATTENTION: Click “See First” under the “Following” tab to see Briefly.co.za News on your News Feed!
US veteran actor Steven Seagal found himself on the wrong side of US securities regulators recently.
The celebrity was not only fined but suspended from investment promotions after failing to disclose that he was being paid for the endorsement.
Seagal promoted Bitcoiin2Gen on social media platforms, telling his thousands of followers not to 'miss out' on the 'next generation of Bitcoin', reports eNCA.
The actor was paid $250 000 in cash and $750 000 in tokens in exchange for introducing the cryptocurrency to 107 000 Twitter followers and 6.7 million Facebook fans.
This saw him in direct contravention of a securities law that compels people to disclose compensation earned for publicising securities.
READ ALSO: Kelly Khumalo stuns with a beautiful Insta snap of herself on holiday
Kristina Littman, chief of the SEC enforcement's Cyber Unit, commented that:
"These investors were entitled to know about payments Seagal received or was promised to endorse this investment, so they could decide whether he may be biased."
Seagal now has to pay $314 000 for his mistake and disgorgement of his illegally gotten gains.
The celeb has also been banned from promoting securities for the next three years. But he isn't the first celebrity to face sanctions over cryptocurrency.
Briefly.co.za gathered that boxer Floyd Mayweather and producer Khaled Khaled, known as DJ Khaled, had also faced charges after plugging other cryptocurrency investments.
Enjoyed reading our story? Download BRIEFLY's news app on Google Play now and stay up-to-date with major South African news!