That got expensive: Kim Kardashian had to pay $1.26 million because she advertised the cryptocurrency EthereumMax on Instagram – without stating that she received $250,000 for it. On Twitter, the incident led to an exchange of blows between economist Peter Schiff and Michael Saylor, ex-CEO of MicroStrategy. According to gold investor Schiff, the US Securities and Exchange Commission (SEC) should have taken on the Bitcoin mascot Saylor. He disagrees.
When two fight…
The SEC doesn’t take a joke when it comes to crypto ads, especially if they’re not labeled as such. Steven Seagal, Floyd Mayweather and Dj Khaled have already been asked to pay by the authorities. They had promoted ICOs but did not claim to have been paid for them.
Peter Schiff could not understand that Kim Kardashian was hit recently. According to the economist, there are more suitable candidates, such as Bitcoin maximalist Michael Saylor.
“SEC fines Kim Kardashian $1.2 million for crypto pumping. What about the real pumpers? Michael Saylor had a lot more to gain pumping crypto than Kim did,” so ship in a tweet. Saylor did not let the through ball lie – and in his answer did exactly what Schiff accused him of: advertising Bitcoin.
read too
Bitcoin is everything – just not a security
“Bitcoin is a commodity, not a security” replied Saylor. “Advertising a commodity is similar to advertising steel, aluminium, concrete, glass or granite. The BTC network is an open protocol that offers useful advantages similar to roads, rails, radio, telephone, television, internet or English”.
Typical words from the former MicroStrategy boss. For Saylor, bitcoin is everything: digital scarcity, the eternal champion. good timesometimes too better. A railroad that moves money through time and space, The Cure or life itself. Everything – just no securities. Therefore, he is not guilty of promoting the cryptocurrency on Twitter. At most because of screwed up language images.
Both are probably right: As an investor, Saylor benefits from his reach, which he uses extensively for Bitcoin advertising. Also MicroStrategy, the Bitcoin for 2.6 billion US dollars lying on the high edge.
However, the entrepreneur accused of tax evasion does not make himself guilty. SEC Chief Gary Gensler recently reiterated the SEC’s stance on classifying Bitcoin as a commodity, not a security. Accordingly, Saylor can continue to advertise the cryptocurrency – without having to fear any consequences.
Do you want to buy cryptocurrencies?
Trade the most popular cryptocurrencies like Bitcoin and Ethereum with leverage on dYdX, the leading decentralized exchange for derivatives trading.