Truth in Advertising group (TINA.org).Calling on Celebrities 19 People are promoting NFT tokens without disclosing their affiliation to the project.
The non-profit consumer advocacy organization says on their website: they have checked “Celebrities who came out promoting NFT tokens on social media channels” found it “a scam-filled area”.
Among the list of superstars are athletes Floyd Mayweather and Tom Brady, singers like Eminem and Snoop Dog, and several actresses including Gwyneth Paltrow, all of whom have received letters urging them to disclose any relationships they have. immediately to NFT companies or the brands they promote, stating that:
“They have failed to disclose their significant affiliation with an accredited NFT company.”
NFTs are digital certificates stored on the blockchain to prove ownership of digital assets or physical assets. These are often works of art, etc., with a number of well-known projects attracting celebrities.
Despite no legal sanctions, TINA.org revealed it sent a letter to the celebrities involved on Aug. 8 outlining their grievances and advising them on the impact. It can be dangerous for the NFT to happen to the public.
One of the group’s main concerns addressed in the letter is The financial risks that may arise from investing in such speculative digital assets
TINA.org previously sent a letter to Justin Bieber and Reese Witherspoon’s legal team on June 10 promoting NFT on social media without disclosing ties to the project.
Bieber’s legal team responded on July 1 and denied any wrongdoing. but stating that the post will be updated
Meanwhile, Witherspoon’s legal team contacted TINA.org on July 20 alleging that the actress did not receive any material benefits from the NFT promotion.
inblog postOn the website TINA.org writes that the previously mentioned celebrities may violate Federal Trade Commission (FTC) rules regarding the use of endorsements and testimonials in advertising and the requirements for influencers.
So far, there have been no cases of celebrities facing legal penalties for promoting NFTs or crypto.
In 2017, the United States Securities and Exchange Commission (SEC) has warned investorsAbout celebrity-sponsored ICO projects in a post on their website.