The FCA previously observed that many young investors were being misled by celebrities paid to promote cryptocurrencies

Earlier this month, while speaking on cryptocurrency scams at the Cambridge International Symposium on Economic Crime, the Financial Conduct Authority’s (FCA’s) chairman Charles Randell warned investors to steer clear of cryptocurrencies being hyped on social media. Randell noted that not all of the crypto tokens being promoted were regulated, and promoters’ investment advice was often misleading.

He specifically referenced Ethereum Max, a token that had been featured by US-based socialite Kim Kardashian.

“I can’t say whether this particular token [Ethereum Max] is a scam. But social media influencers are routinely paid by scammers to help them pump and dump new tokens on the back of pure speculation. Some influencers promote coins that turn out simply not to exist at all.”

The FCA chair described the Kardashian post as the…

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