The UK advertising regulatory, the Advertising Standards Authority (ASA), is reportedly preparing a crackdown on the marketing tactics of cryptocurrency companies by publishing misleading advertisements. According to the Financial Times report, ASA has put crypto within ‘red alert’ priority within financial advertising. “We see this [cryptocurrency ads] as an absolutely crucial and priority area for us,” Miles Lockwood, director of complaints and investigations at ASA, told Financial Times.
“Where we do find problems, we will crack down hard and fast.”
Miles Lockwood further noted that wherever they will find problems, they will crack down hard and fast. The ASA will focus on the ads running on the online and social media platforms and will push to take down misleading and irresponsible promotions. Recently the number of crypto ads ballooned with the price rally of Bitcoin. Several crypto exchanges are running multi-million dollar advertisement campaigns online and offline to lure new crypto investors to their platforms. The advertisement regulator started taking down Bitcoin ads earlier this year with the ban on Coinfloor’s print ad in a regional newspaper, calling it ‘misleading’ and ‘socially irresponsible.’
ASA has taken down a few crypto ad campaigns.
The advertisement regulator ASA further took down a massive ad campaign ran by crypto exchange Luno on London tube stations and buses. Luno ran an ad campaign that stated: “If you’re seeing Bitcoin on the Underground (on a bus), it’s time to buy.” However, the ASA pointed out that the ads did not display any risk warnings, thus underplaying the risks associated with Bitcoin investments. Actions against ad campaigns were taken following complaints against the ads received by the ASA. However, it is not clear if the regulatory body will start taking Bitcoin and other cryptocurrency ads by itself or if citizens still need to raise the flag.