More governments are now concerned about cryptocurrency ad campaigns and promotions than ever. Spanish financial regulators gave a warning to soccer star Andres Iniesta for promoting Binance on his Twitter feed without mentioning the associated risks of cryptocurrency. A while ago, a British member of the parliament petitioned against putting a ban on crypto ads on the streets and public transport of London.
Similarly, the Indian Prime Minister instructed crypto firms in the country not to embark on aggressive ad campaigns. In connection to these worldwide developments, Finland has introduced stricter measures for digital currency promotion.
The Finnish Financial Supervisory Authority released a notice saying that only registered crypto firms have the legal right to promote their products and service in Finland. That might be a problem for many of the unregistered cryptocurrency exchanges in Finland. Presently, only ten exchanges are registered in the country. The new laws would mean that apart from these ten exchanges, the rest would not be able to promote their products on any public platform. Doing so would count as a criminal offense, and penalties will be charged accordingly.
The problem with cryptocurrency promotion and advertisement has been a constant point of conflict between exchanges and regulators. Since crypto investment entails heavy risks, the governments want to protect their investors by warning them against the dangers of investing. Advertisements often do not mention anything about the risk levels, and the government of Finland wants to change this. With only a handful of exchanges releasing commercials, it will be much easier to monitor what each is saying and whether there is anything misleading in it.