
Floyd Mayweather-backed cryptocurrency ICO was fraud, SEC says - thisisit
https://www.cnbc.com/2018/04/03/floyd-mayweather-backed-cryptocurrency-ico-fraud-sec-says.html
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nkrisc
Taking investment advice from someone who gets hit in the head for a living
was never a sound strategy.

Eagerly awaiting to see if more arrests come down the line for some of the
more recent "ICOs"

~~~
anoncoward111
Taking investment advice from someone who types polemics on HN all day was
never a sound strategy.

See, one data point does not necessarily disprove the worth of another. Floyd
was promoting a scam in this instance, but that doesn't mean he is completely
incapable of uttering the words, "buy an asset that slowly and predictably and
sustainably rises faster than inflation."

~~~
nate_meurer
Ease up on the reins there cowboy, I think you took that comment waaaay too
seriously.

That said, I've been following Mayweather closely as a boxer for many years.
He's a boxing prodigy, but he's also a genuine imbecile. I wouldn't be
surprised if actually doesn't grasp the concept of inflation. Really, no
exaggeration.

~~~
nate_meurer
I feel compelled to add that, in addition to being a man of modest intellect,
Floyd Mayweather is also an unapologetic serial wife beater (or girlfriend
beater as the case may be) [[https://nesn.com/2017/08/why-has-floyd-
mayweathers-domestic-...](https://nesn.com/2017/08/why-has-floyd-mayweathers-
domestic-violence-history-been-ignored-in-fight-run-up/)].

When confronted, one of his favorite excuses is that "only God can judge me".
Class act there.

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Dangeranger
The SEC could still pursue charges against Mayweather for his actions in the
ICO, [0] which I hope that they do. In fact I hope they are looking at all the
celebrity endorsements over the last 18 months, and considering actions
against them.[1]

[0] [https://www.sec.gov/news/public-statement/statement-
potentia...](https://www.sec.gov/news/public-statement/statement-potentially-
unlawful-promotion-icos)

[1] [https://www.nytimes.com/2017/10/27/technology/how-floyd-
mayw...](https://www.nytimes.com/2017/10/27/technology/how-floyd-mayweather-
helped-two-young-guys-from-miami-get-rich.html)

~~~
debacle
What was his level of involvement in the promotion, barring holding up a debit
card and endorsing them?

Did he have knowledge that it was a fraud?

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sitepodmatt
It's a shame he hasn't been charged directly, him and all the other high
profile "social influencers" that don't make it clear they're being paid to
plug some dog shit and haven't done a single bit of due diligence. $32m fine
should just about do that. Pure greed.

~~~
wyattpeak
Should Federer have to to due diligence on Rolex before slapping one on his
wrist? How? What would it involve, and what standards would he be held to when
pulled up on charges?

This is what the SEC is for - discovering fraud. How is a sportsperson
supposed to do due diligence on a security?

I could (and probably would) get behind a law requiring people to acknowledge
paid endorsements, but requiring them to investigate just seems untenable.

~~~
aje403
Intent. Let the SEC do its due diligence as well and see what turns up to
determine culpability.

~~~
geezerjay
You're admitting that a state institution dedicated to investigate fraud will
have to work just to determine if there was actually a problem worth
investigating. How on earth could a potential sponsor like the figurative
Federed do the same prior to signing an advertisement contract? And should
actors shooting ads be subjected to the same demand, or even the typical "9
out of 10 dentists"?

~~~
aje403
No, I'm admitting that, in the course of an existing investigation attempting
to press criminal charges against the scammers, emails may turn up with
Mayweather writing "how long does it take me to get paid after you con these
idiots? How else can I help you guys pump things up quickly and how quickly
can I get paid?". Then, maybe they'll decide to charge him with something and
use him as a lesson against future promoters. Probably not. We'll see.

Either way, they may determine he needs to cough up his profits. Take a look
at the Madoff aftermath.

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debacle
There's an important lesson for entrepreneurs in the crypto timeline: You can
make a lot of money on a bad idea.

~~~
endangered
It wasn't even a bad idea (indeed there was no real idea at all). They
specifically set out to defraud investors.

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xkjkls
I'm absolutely shocked by this turn of events.

