September 2023

Crypto Reaches New Milestone: 1 Billion Users by 2025

• The U.S. court ruled that using emojis relating to rocket ships, stock charts, and money bags could be classified as investment advice.
• Former SEC branch chief Lisa Braganca warned the public against using certain emojis in promotional materials following the court ruling.
• Dapper Labs was accused of promoting NBA Top Shot Moments as investment opportunities through its marketing materials with carefully selected emojis.

SEC Chief Warns Against Using Emojis for Investment Advice

A recent U.S. court ruling determined that using particular emojis related to rocket ships, stock charts, and money bags could be considered investment advice, prompting former SEC branch chief Lisa Braganca to issue a warning about their use in promotional materials.

The Court Ruling

The court ruling was part of a lawsuit filed by plaintiffs against Dapper Labs and its CEO Roham Gharegozlou for allegedly violating securities laws by offering its NBA Top Shot Moments – non-fungible tokens (NFT) that capture key highlights and video clips from NBA games – as an investment opportunity. They argued that the company had used carefully selected emojis in its marketing materials that suggested financial returns on investments were possible if customers purchased the product. For example it tweeted a message featuring a rocket ship, stock market, and money bags emoji to show market performance data without actually saying “profit” or encouraging people to buy the token outright.

Braganca’s Warning

In response to this situation, Braganca issued a warning via Twitter urging people not to use certain emojis when attempting to promote investments or products associated with investments as they could be interpreted as providing financial advice or guidance which would go against SEC regulations. She stated that even though literal words such as “profit” may not have been used in the tweet featuring the emojis mentioned above, they still objectively meant one thing: potential financial gain from investing in something like NBA Top Shot Moments tokens.

Controversy Surrounding Use of Emoji

While some members of the crypto community argue that there is nothing wrong with using specific emoji combinations to convey messages about investments or other opportunities related to them because different people can interpret them differently according to their own experiences and backgrounds; others feel that having rules around their usage could impede freedom of speech since it restricts what someone can say without fear of legal repercussions for being too suggestive about making profits off investments when promoting them online or elsewhere on social media platforms like Twitter etc..


As demonstrated by this case involving Dapper Labs‘ use of emoji symbols in their promotional material regarding NBA Top Shot Moments tokens; it is important for both companies and individuals alike who are involved with cryptocurrency trading or investing activities online – whether directly through platforms like Coinbase Pro etc., or indirectly through third-party services such as NFTs – to be aware of how they communicate these activities through digital means so as not run afoul of any laws/regulations pertaining thereto (including those set forth by regulatory bodies like the SEC).