Former Australian Cricket Captain Michael Clarke Slammed for Promoting ICO
Former star Australian cricketer Michael Clarke is the latest celebrity to leverage his online popularity to promote a forthcoming Initial Coin Offering (ICO). And, like others, he’s now been raked over the coals for doing so.
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Raising $50 Million? We Need a Star!
The acclaimed cricketer Michael Clarke has officially been dubbed the ambassador of the Brisbane-based crypto firm Global Tech, which is currently prepping for an ICO on August 15th in a bid to raise between $10-$50 million USD. Global Tech will use the raised capital to develop its so-called “education-based trading and exchange platform.”
Announcing his support for Global Trade, Clarke tweeted:
“I am really excited to be involved with Global Tech. Their ambition and drive is something that I resonated with straight away and I can’t wait to learn more about blockchain technologies.”
The same post was reiterated on his Instagram feed.
The year-old Global Tech project was initiated by Marlon Donaire and Andrew Mclean. The play says it aims to simultaneously educate on, and allow the trading of, cryptocurrencies. The company’s LinkedIn page reads:
“Andrew and Marlon propose to bring legitimacy back to the industry with a community and education-based trading and exchange platform.”
Let the Roast Commence
Sports celebrities jumping on the digital assets bandwagon and turning into ICO promoters has become more common. Some major sports personalities that have recently backed crypto projects include footballers like Luis Figo and Michael Owen and boxers like Manny Pacquiao and Floyd Mayweather Jr.
And, like his peers before him, Pup — Michael Clarke’s nickname — was roasted for the Global Tech endorsement as his followers severely reprimanded his willingness to become a brand ambassador for a high-risk ICO. As The Age has pointed out, some of the harshest rebuking came from famed hedge fund manager John Hempton.
At one point, Bronte Capital founder Hempton bitingly advised Clarke to “just buy sandpaper […] It will do less damage to your reputation.”
ffs, ex Australian cricket captain in an ICO.
Suggest Mr Clarke you just buy sandpaper.
It will do less damage to your reputation… https://t.co/lyoHNxm1aS
— John_Hempton (@John_Hempton) August 8, 2018
Hempton’s tone here, alas, typified much of the Twitterati pushback that Clarke received in the wake of his endorsement.
Is Clarke’s Endorsement Legal or Illegal?
Additionally, Hempton notably pointed out that Clarke’s Global Tech tweet could run afoul of the country’s fundraising regulations.
Whether or not that’s the case will be up to the Australian Securities and Investments Commission (ASIC).
It’s a possibility worth considering for Clarke, since not long ago ASIC turned up the heat on misleading ICO offenders in the nation. At that time, the regulator also defined how ICOs can breach into “misleading or deceptive conduct.” The commission has also stated that ICOs will be regarded as malicious if they resort to using “social media to generate the appearance of a greater level of public interest in an ICO.”
That last clause might be the one Clarke wants to look at the closest.
Should celebrities stay away from ICOs? Share your views in the comments section.
Images via Pixabay, ABC