One of the most famous boxing champions in the world, Manny Pacquiao is launching his own cryptocurrency, the PAC token. Global Crypto Offering Exchange (GCOX) is supporting the coin.
The PAC coin can be used to buy tickets, merchandise and other services, including meet and greets with celebrities. “It can be a way to be in touch with the fan base and (there are) a lot of things we can do with this cryptocurrency,” Pacquiao told AFP.
A Word of Warning before Investing on Celebrity Support
However, before investing on celebrity news, always do you due diligence.
Floyd Mayweather got behind digital startup called, Central Tech. Unfortunately, its co-founders were indicted for fraud.
The coin’s co-founders at Centra Tech were charged with conspiracy and the commission of securities and wire fraud, according to a release. Centra founders allegedly created “a scheme to induce victims to invest millions of dollars’ worth of digital funds for the purpose of unregistered securities,” according to a press release.
Other Instances of Celebrity Fraud
Sometimes, scam artists use images of celebrities to make an investment appear to be real.
For example, the UK’s Action Fraud group even raised the alarm on “the growing problem of criminals using the reputation of prominent people in cryptocurrency scams.” According to Cryptovest, examples including Deborah Meaden from the BBC’s Dragons’ Den and Martin Lewis, the founder of Money Saving Expert. Names are used without knowledge or consent.
It’s no wonder the SEC has issued several warnings to celebrities against endorsing ICOs in exchange for payment.
Fraud isn’t always present, though
Ashton Kutcher got behind Ripple (XRP) for example. In fact, he gave Ellen Degeneres $4 million in cryptocurrency for her charity.
In short, do your due diligence any time a coin is backed by a celebrity.
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