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Thursday, November 29, 2018

Floyd Mayweather & DJ Khaled reach settlement with SEC - after endorsing fraudulent ICO that raised $32 million...

We covered the story when it broke in April and little was heard since then, until now.

It turns out, lawyers for Mayweather and Khaled have been busy negotiating with the SEC, and today reached a settlement.

Mayweather will return $300,000 he received to promote the ICOs plus a $300,000 penalty, and an additional $14,775 in prejudgment interest.

DJ Khaled will return $50,000, pay a $100,000 penalty, and $2,725 in prejudgment interest.

The case revolved around an ICO called "Centra" which turned out to be fraudulent, according to the SEC case:

“They claimed, for example, to offer a debit card backed by Visa and Mastercard that would allow users to instantly covert hard-to-spend cryptocurrencies into US dollars or legal tender. In reality,  Centra had no relationships with Visa or MasterCard.” 

Centra went on to raise $32 million, the criminal cases against the founders are still moving forward.
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Author: Justin Derbek
New York News Desk