Celebrities and social media stars have been warned that they are breaking the law by promoting products on Instagram without admitting they are being paid to do it.
Feds found that many endorsement posts are not being labelled clearly enough in the captions, According to the Federal Trade Commission (FTC), posts from celebrities like Rihanna, Rita Ora and Kim Kardashian and Kylie Jenner have been cited out of 113 examples.
The posts risk breaching consumer rights rules by not revealing when they are promoting products on the social media site.
The US consumer regulator has sent a letter to 90 high profile users of the Facebook-owned site in response to concerns raised by consumer rights group Public Citizen.
According to a report in Esquire mag, an Instagram user with between 3 and 7million followers can expect to earn $75,000 per Instagram post.