The Bitcoin fever helped the value of several other digital assets, and played a part in the creation of countless Initial Coin Offerings (ICOs), a fundraising mechanism consisting in selling tokens generated by a company.
Cryptocurrencies are increasingly popular, used by a large number of people who believe in them and in the Blockchain technology that backs them up. The show business is no stranger to the subject, with A-listers using and backing them.
It must be noted that the U.S. Securities and Exchange Commission (SEC) warned that “It is never a good idea to make an investment decision just because someone famous says a product or service is a good investment.”
Let’s review a few positive and negative experiences of some actors in the cryptocurrency world.
Actor Ashton Kutcher and former heavyweight champion Mike Tyson endorsed digital assets and Blockchain technology, but there are other celebrities that took even bigger risks.
The socialite Paris Hilton supported the Lydian ICO, while his father is auctioning a mansion valued in $35 million USD and is willing to accept Bitcoin as a means of payment.
Another former boxing champion, Floyd Mayweather Jr., has showed his support to several ICOs, including Centra, whose creators were charged with fraud and later arrested. Centra was supposed to offer a merger with credit cards, but it all appeared to be part of a scam. After the scandal, Mayweather chose to stay away from the virtual world and show himself in social media closer to the tangible world of fancy cars and large amounts of cash.
Unlike Hilton and Mayweather Jr., other celebrities opted to keep a safe distance from ICOs and endorse Bitcoin and other cryptocurrencies already stablished in the digital market, thinking they are safer.
Such is the case of Kutcher, an informed Blockchain technology enthusiast. The actor has repeatedly shown his interest in Bitcoin and, along his partner Guy Oseary, has made an inverstment on the Ripple platform and several other tech startups.
This past May, they invested 4 million dollars in the Ripple (XRP) cryptocurrencuies through Ellen DeGeneres’s Wildlife Fund foundation.
Tyson is another celebrity infected with “Bitcoin fever.” In 2015, after a Bitcoin ATM portraying his image was installed in Las Vegas, the former champ said he was a proud member of the “Bitcoin revolution.”
But that wasn´t all: The following year, the former boxer partnered with Bitcoin Direct _ the company behind the ATM _ to launch a Bitcoin wallet.
Elon Musk, on the other hand, confessed that he only has 0.25 Bitcoins a friend sent him long ago, but he can’t cash them because he doesn’t know where they are stored. Apparently, this is a common problem: According to Fortune, since its creation, between 2.78 and 3.79 million Bitcoins have gotten lost.
These are a few examples of celebrities using cryptocurrencies with different experiences in a highly volatile market, and probably not the ideal universe for those who like to place a safe bet. But it is always positive to be informed on this financial revolution and not fall behind.
By Ana María Morales