Paul Pierce crypto scandal: What is he charged with by the SEC and how long can he be punished for?

The Paul Pierce crypto scandal is one of the hottest topics around the NBA today. Following recent events, the former NBA champion has come to a settlement with the Securities and Exchange Commission.

Pierce found himself in legal trouble after he was seen promoting Ethereum Max, a crypto security product. Following his endorsement for EMAX tokens, it came out that the company paid for his endorsement on social media. This is the second time Ethereum Max was caught doing this as they pulled a similar stunt with Kim Kardashian.

The basis of the Paul Pierce crypto scandal is that he did not mention that he was being paid for his promotions.

“This case is yet another reminder to celebrities: The law requires you to disclose to the public from whom and how much you are getting paid to promote investment in securities, and you can’t lie to investors when you tout a security,” SEC Chairman Gary Gensler said in a statement.

What was the settlement for the Paul Pierce crypto scandal?

After facing allegations of touting, the former Boston Celtics star came to an agreement on a settlement. The Paul Pierce crypto scandal came to an end with him paying the SEC a total of $1.4 million.

Along with being paid to promote the product, Paul Pierce was also accused of sharing misleading information. The SEC's report stated that he shared photos of Ethereum Max's profits that were not fully accurate. It is believed that he was paid close to $250,000 for his endorsement.

There are more stipulations that come with Pierce's settlement with the SEC. Not only did he pay the $1.4 million, but he is also barred from promoting any other crypto for at least three years.

This entire ordeal began when Pierce tweeted that he no longer needed his job with ESPN because he had EMAX tokens. Outside of Pierce and Kardashian, famous boxer Floyd Mayweather Jr. was also named in the lawsuit for touting the crypto.