Positive Cryptocurrency Reviews are for Sale

AlphaAtlas

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According to a report by Reuters, positive, paid reviews by popular cryptocurrency "experts" and social media personalities are widely available. Reuters talked to "more than two dozen people in the cryptocurrency market," but the first example they cited is a textbook case of the practice. The CEO of a Ukrainian cryptocurrency startup called Hacken paid $7,500 to Christopher Greene, host of the popular Alternative Media Television YouTube channel. Greene posted a very positive review of Hacken's coin, allegedly without mentioning the payment anywhere in the video, and the cryptocurrency's value shot up 14 percent. While a sensationalist, high energy YouTube reviews was the first thing I pictured while reading the article's description, AMTV's Hacken review is actually calm, collected and deceptively professional. Reuters claims Hacken's approach is the archetypal example of " a pay-for-play hype machine that churns out recommendations viewed by hundreds of thousands of hungry investors."

The SEC issued a more specific warning about promotion of online fundraisers known as initial coin offerings (ICOs) on Nov. 1 last year. "Any celebrity or other individual who promotes a virtual token or coin that is a security must disclose the nature, scope, and amount of compensation received in exchange for the promotion," the SEC said in a public statement posted on its website. Failure to do so is a violation of anti-touting provisions of federal securities laws, and may also be fraud, the SEC said. The SEC has not issued determinations on which cryptocurrencies it regards as securities. But the agency has brought enforcement actions against a dozen or so companies connected to ICOs, some of which the agency has identified as unregistered securities offerings, and therefore subject to its regulation.
 

Darunion

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And this is why no one should trust reviews for anything. Except anything reviewed here at [H]. Where you can trust! (ill take my shill payments in amazon or steam gift cards please).
 

the-one1

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People still get suckered into ICOs? Same people who sends the prince of Nigeria money ?
 

sfsuphysics

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So there is no mention of that being a paid advertisement? If he's in the US the FTC might come knocking on his dooe
 

seanreisk

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'Celebrities' have been promoting goods for over 100 years. The SEC's problem is that in 2018 it's hard to tell the difference between an advertisement and a review, especially with 'reviews' becoming their own form of media and having their own advertising, and companies having access to both. I'm surprised cryptocurrency hasn't appeared on the Shopping Network.

This is why I approve of physical punishment. Using physical punishment instead of fines and detention, the SEC could tape a 10-second public announcement where they punch Christopher Greene in the balls, write 'You Forgot To Say Paid Advertisement, You Douchebag' underneath it, and then require him to show that in place of advertisements for an entire month.

That's double entertainment, folks!
 

oldmanbal

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selling an eggo waffle for a company and fraudulently misguiding investors about cryptocurrency are not the same thing. I may hate oreos, but I'd take a video eating them for a few grand.

However, without laws on the books for most crypto, if any, it will continue to be the wild west.
 

Uncle

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Jun 7, 2004
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No different than how they pump up shares at Wall St. Remember folks 80% of most shares have been traded by the time the guy on the street gets the news.
 

sfsuphysics

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selling an eggo waffle for a company and fraudulently misguiding investors about cryptocurrency are not the same thing. I may hate oreos, but I'd take a video eating them for a few grand.

However, without laws on the books for most crypto, if any, it will continue to be the wild west.
Hey wasn't there that show Mad Money that mislead investors before the housing market crash, which was later shown that they knew it was going to go down?

But yeah, people have gotten arrested (not fined) for falsely spreading rumors about a stock on some website all with the intention to get the price to rise (which it did), I don't see why this is any different.
 

Zarathustra[H]

Extremely [H]
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Not surprising. 90% of cryptocurrency is all about cheating so that young vaping douchebags with facial hair can defraud money from old unsophisticated investors with the ultimate dream of buying a "lambo" :rolleyes:
 

[Spectre]

[H] Admin
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And this is why no one should trust reviews for anything. Except anything reviewed here at [H]. Where you can trust! (ill take my shill payments in amazon or steam gift cards please).

Sorry, we pay in chin poon
 
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