On October 3, the EMAX Investors got a final warning from the United States District Court Judge, Michael Fitzgerald. The warning was related to the final chance to submit an amended complaint against the celebrities who allegedly promoted non-defunct cryptocurrency under the Pump and Dump scheme. Kim Kardashian was also changed by the US Securities and Exchange Commission (SEC) in October 2022 for promoting the tokens in an illicit way.
The Pump and Dump Scheme
EthereumMax, a platform offering a scalable and robust ecosystem of decentralized Finance (DeFi) products for the community is emerging as a hot topic. EthereumMax and its native token EMAX won investors’ hearts with big promises and flashy names.
In June 2021, the platform was promoted by the popular reality TV star, Kim Kardashian over the Instagram platform. No financial advice was offered by her, but she shared her friend’s thoughts on the EMAX token. The post shifted from the Instagram platform to the court, accused of promoting the non-defunct cryptocurrency in an unlawful way.
A case was filed by EMAX against the celeb promo suit, claiming the promotion of the token in an illicit way.
On October 3, 2023, Michael Fitzgerald, the US District Court Judge offered a final warning to the EMAX investors to file their claims against the one who allegedly promoted it. The warning is considered to be the third and final chance for the EthereumMax investors.
The action suit was filed against famous celebrities including reality TV star Kim Kardashian, boxer Floyd Mayweather, NBA star Paul Pierce, and others for allegedly promoting the EMAX token, known as a pump and dump scheme.
Surprisingly, the suit was dismissed by the judge last year and restored in June, stating unfair competition against the celebrities, introducing four motions in the new order.
The court denied the motion of Mayweather, Pierce, and Giovanni Perone’s motion to dismiss the same consumer claim. Giovanni Perone is the co-founder of EMAX.
Judge Michael Fitzgerald requested plaintiffs to re-file the complaints and defendants are expected to respond to the remaining claims.
The whole incident came into focus in October 2022, when the SEC charged Kim Kardashian for promoting the EMAX tokens in an illegal way. Also, Kim settled to pay $1.26 Million in penalties for the act.
How Well the Platform is Performing at Present?
Focusing on the current performance of EMAX, the coin holds the current price of $0.000000001086, a decline of 10.01% in the past 24 hours with a trading volume of $590. The coin was launched with the vision to bridge the gap between the well-known foundational coins of the crypto market and the emergence of community-driven tokens.
A case on EMAX, once dismissed by the court, was revived in June to offer a fair judgment. The judge of the US district court offered a final warning to the EMAX Investors to re-file the complaints against the celebrities who allegedly promoted non-defunct cryptocurrency.