Lindsay Lohan Snared In SEC Crypto Sting: Will News Affect Coins Such As Dogetti?

Lindsay Lohan Snares in SEC crypto sting and news affecting coins such as Dogetti

New York actress and singer Lindsay Lohan was among other celebrities, musicians and influencers who were charged for illegally promoting two cryptocurrencies and failing to disclose their financial rewards for doing so. Repercussions may be felt for honest cryptocurrency projects such as Dogetti (DETI).

Lindsay Lohan has become the latest celebrity in a long list that has run afoul of U.S. financial regulations, having accepted payment in order to promote the cryptocurrencies Tronix (TRX) and BitTorrent (BTT). The Securities and Exchange Commission (SEC) charged Lohan alongside multiple other celebrities including Jake Paul and the rap artist known as Soulja Boy.

While this event is not the first time that celebrities have been legally chastised for playing fast and loose with financial rules regarding the promotion of financial products or investments, it represents a high-profile example of the dangers that can be posed by following the advice of influential figures.

Read on to find out more about this interesting case, and learn what you can do to avoid clandestine promotion of digital assets by unscrupulous celebrities.

The scandal was instigated by the actions of companies owned or affiliated with crypto enthusiast and FinTech entrepreneur Justin Sun. The SEC accused Sun this week of "wash trading," a practice whereby holdings in cryptocurrency are bought and sold rapidly to make it appear as though they're performing better than they are.

On top of this, Sun and the companies he owns stand accused of paying the celebrities mentioned above to promote cryptocurrencies with their immense public and social media audiences, and instructing these influencers to conceal the fact that they'd been paid to do so.

Events such as these have serious impacts and implications for the entire cryptocurrency sphere – bad press adversely affects the crypto marketplace, and undermines the credibility and hard work of earnest projects.

Evidence of this can be found in market fluctuations in the immediate aftermath of the news hitting the media cycle. For two days after the news, the price of Bitcoin (BTC) dropped sharply, with only minor rallies helping to sustain the growth of this weathervane stock.

Unpredictable fluctuations such as these have a ripple effect that impacts the vast majority of cryptocurrencies – including small and medium-size coins such as Dogetti (DETI), which is making promising strides through its presale stages. While Dogetti (DETI) has thankfully held strong enough momentum and investor interest to survive and thrive despite the news of Lindsay Lohan and her fellow celebrities and influencers, the question must be asked: is celebrity involvement in the cryptocurrency world a net positive or negative for the industry?

Always take celebrity endorsements with a healthy dose of scepticism, and ensure that as an investor, you perform due diligence before purchasing any digital asset or taking on holdings in a cryptocurrency.

One cryptocurrency you can rely on to not follow the predatory practices of Justin Sun and his companies is Dogetti (DETI). Find out more about this exciting presale coin by checking out the links below the article.

Presale: https://dogetti.io/how-to-buy

Website: https://dogetti.io/ 

Telegram: https://t.me/Dogetti

Twitter: https://twitter.com/_Dogetti_