NAYZE MEDIA (STAFF)
ENTERTAINMENT: CELEBRITY NEWS
Cover Photo Courtesy: Sports Rush
Former Boston Celtic All-Star, Paul Pierce was the latest celebrity to be named in a scam involving a pump-and-dump scheme of a Cryptocurrency called “EtherumMax“. According to the New York Times, the lawsuit goes on to name many more celebrities including “influencer” Logan Paul and actor, Matt Damon.
The lawsuit said that Pierce received more than 15-trillion EthereumMax tokens in exchange for tweets endorsing the coin. None of Pierce’s Tweets mentioned that Pierce wasn’t a random purchaser of the coin, but a person who had a business relationship with the creators of the token. Shortly after promoting the coin and the project, Pierce sold all of his coins.
The pump-and-dump scheme is in play when someone purposely causes a stocks price to rise, causing their own profit from the stock to rise along with the price. The person quickly sells now that the price is high, because they know the stock is trash and will eventually crash. Leaving unknowing investors to take the loss. (That’s not the official definition of a pump and dump scheme. This is my opinion. *Kareem Rahman* Click the link in the words “pump and dump” in the first paragraph for the official definition)