Popular American businesswoman & reality TV star, Kim Kardashian has made move to dismiss a complaint filed against her. She was sued for promoting an alleged ‘pump and dump’ crypto token.
Kardashian was listed among other American social media influencers who were served with a class action complaint in January 2022. They were alleged to have misled investors through the social media promotion of a cryptocurrency token called EthereumMax.
Kardashian had posted Instagram story posts promoting the project in June 2021. Legendary boxer, Floyd Mayweather was also involved at a time he was building up for a celebrity fight.
Fans could purchase pay-per-view tickets with the tokens, which surged after the promotion of Kardashian and other influencers. The value of EthereumMax dropped significantly afterwards, leaving many out of pocket.
The original court filing that listed Kardashian, Mayweather and eight others claimed that company executives had collaborated with celebrity promoters. They were accused of giving misleading statements about the token and their control of the majority of tokens. Steve Gentile and Giovanni Perone were listed as co-founders of the project.
Kardashian’s legal team has argued for the dismissal of the class action lawsuit in court documents. The hit back at the ten claims brought against the influencer. A key point was the Kanye West‘s ex-wife Instagram stories in question:
“Crucially, no named plaintiff alleges that they in fact viewed either Instagram post before purchasing tokens during the relevant time period.”
The filing also argued that the plaintiffs’ claims that influencers were paid in Ethereum (ETH) to promote EMAX were unfounded, given their lack of evidence that Kardashian had received financial compensation for her Instagram posts.
Kardashian’s legal team also highlighted that there was no evidence put forward of Kardashian ever purchasing, receiving, or selling the tokens herself. The defendants have together put forward an omnibus motion to dismiss the overall class action claims.