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These are external links and can open in the new window Celebrities, professional athletes and social networking stars happen to be warned by US regulators about endorsing crypto-currencies. Paris Hilton, boxer Floyd Mayweather while others have got all publicly backed digital currency funding drives. The Securities and Exchange Commission (SEC) said the endorsements could break laws on selling securities. Those promoting crypto-currencies must say if they're being taken care of the endorsement, it said. In its official warning, the SEC pointed towards the growing amounts of public figures who
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may have talked about the funding drives, known as Initial Coin Offerings (ICOs), that crypto-currencies go to raise cash. About 270 separate crypto-cash start-ups have sought funds via ICOs in 2017, said the New York Times. In total, the ICOs have raised a lot more than $3bn (£2.27bn), it said. The SEC said any virtual coins or tokens bought by investors with an ICO were subject to the same laws governing the sale of stocks sold via mainstream stock markets. These laws require anyone backing a burglar alarm to disclose their relationship with all the company supplying the investment opportunity. "A failure to disclose this information is a violation of the anti-touting provisions with the
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