SEC Comes ‘Out For Justice' As ‘Beyond The Law' Star Steven Seagal Charged In 2018 B2G ICO

The actor and former Martial Arts performer has been ordered to pay $157,000 in disgorgement. The Investigation will continue, according to the SEC.

  • Actor and martial arts performer Steven Seagal has been charged by the US Securities and Exchange Commission (SEC) for failing to disclosed earnings from an initial coin offering (ICO) back in 2018.

The United States' Securities and Exchange Commission (SEC) released a statement this Thursday, in which it states that the actor – Steven Seagal – failed to disclose payments he received for promoting Bitcoiin2Gen’s (B2G) token and Initial Coin Offering (ICO) in February 2018.

The actor and former martial arts performer faced charges for failing to disclose that he had been offered a $250,000 payment in cash and another $750,000 in B2G tokens for promoting the ICO.

Seagal ‘Zen Master' Promoted B2G on Social Media

According to the SEC, Seagal took to social media, encouraging his fans and followers to invest in B2G tokens back in 2018.

The SEC also reported that he issued a press release titled: “Zen Master Steven Seagal Has Become the Brand Ambassador of Bitcoiin2Gen”, while another B2G press release quoted him saying that “he wholeheartedly backs the ICO” advising followers to invest to avoid “miss[ing] out.”

Celebrities: Promoting Securities? Disclose Your Compensation

Kristina Littman, speaking on behalf of the SEC's Enforcement Division Cyber Unit as its chief said the following:

“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.”

Littman further stated that celebrities seeking to use their platform to advertise a product should disclose their earnings.

“Celebrities are not allowed to use their social media influence to tout securities without appropriately disclosing their compensation.”

Meanwhile, B2G Fights Against Pyramid Scheme Accusations

Even when the ICO was launched, B2G fought an uphill struggle against accusations that it was a pyramid scheme. So much so that it issued statements about its marketing activity.

After a month, the Tennessee Department of Commerce and Insurance issued a warning about B2G's token project. The SEC had previously advised celebrities to not endorse tokens if they are legally deemed securities.

In an announcement released on Thursday 27th February, it stated that promoters “must disclose the nature, scope, and total amount of compensation received in exchange for their promotion”.

Seagal to Pay $157,000 in Disgorgement

The SEC stated that Seagal didn’t respect the anti-touting provisions of federal securities and that he agreed to pay $157,000 in disgorgement.

While he didn’t have to admit or deny any wrongdoing, Seagal agreed to no longer be directly involved in the promotion of securities for a period of 3 years.

His promotional payments are covered by this disgorgement and the investigation will continue, the SEC concluded.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Oana Ularu
Oana Ularu
Curious about what’s going on with all the money in the world, Oana is bringing you the latest news in the crypto world. She’s aware of the fact that you need to know everything that’s happening on the financial scene in order to play the cryptocurrency market, so you can count on her to share with you every little detail on what matters.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,478FansLike
2,795FollowersFollow
4,196FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

South Korea May Classify Crypto As Goods, Not Currencies; Tacking On A 20% Capital Gains Tax

South Korea aims at introducing a capital gain on crypto assets that could be as high as 20% as the National Assembly looks at...

Bitcoin’s New Found Correlation Puts it in Danger

Bitcoin is back to hovering around $9,200 and in red as it continues to follow the S&P 500 but only to the downside. The Dow...

Bank Of England Governor Teases The Potential of Launching A Digital British Pound

Bank of England governor, Andrew Bailey, teases on the possibility of the U.K. introducing a central bank digital currency (CBDC) to keep up with...

World Bank Releases Research On The Impact Of Smart Contracts For Financial Inclusion

The World Bank released its report on smart contracts and the impact it’ll have on the development of financial systems across the globe. A...

Bitcoin Fork Successfully Prevents a 51% Attack that Could Have Resulted in a $75,000 Loss

On July 10, the Bitcoin Gold team saw an extremely long attack chain of over 1300 blocks, which have been mined since July 1,...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today