Crypto advertisements continue to be a point of conflict between regulators and crypto firms or startups. Various countries across the world have put up different regulations for crypto ads. While some countries like India have only issued verbal warnings, Singapore took a more drastic step of banning crypto ads from all public spaces. The major reason behind this controversy is the misleading nature of many crypto ads. Both individual tokens and crypto exchanges are to be blamed for it. Some of these ads give a skewed picture of how the cryptocurrency ecosystem works.
The United Kingdom has been one of the first countries to take notice of the issue and imposed a ban on several crypto ads. Regulators in the UK are now on a mission to discourage misinformation in the crypto space. The Financial Conduct Authority (FCA) and the Treasury Department of the UK have collaborated to prevent misleading crypto ads. Now crypto ads will be completely under the jurisdiction of regulators. FCA and the Treasury Department now have even greater power in imposing restrictions and checks over crypto commercials. Regulators feel that these moves will improve crypto and financial literacy levels.
Recent studies have shown that general awareness of cryptocurrencies is sharply declining across the country. The United Kingdom is not the only country to take such steps. Spain recently passed a similar mandate under which all crypto ads will have to pass certain checks and parameters. All ads broadcasting to 100,000+ people would also have to notify Spanish regulators about the same. These steps can collectively prevent cryptocurrency misinformation on a global scale.
