Social Media Giant Facebook Bans Cryptocurrency Ads
In what comes as a somewhat unsurprising move, social media giant Facebook has now banned all ads that promote cryptocurrencies — including bitcoin and ICOs — to protect its users from deceptive financial products and services.
As a result of Facebook’s new policy, we won’t be able to see ads featuring people like “crypto genius” James Altucher, who has been featured in the media quite prominently because of his endorsement of the digital currency.
Recently, Facebook has been a target of heavy criticism for hosting dubious ads that look to promote cryptocurrency. Some of these ads could potentially be associated with scams that are seemingly ubiquitous all over the internet right now. Many have pointed out that these ads use “fake information” to trick investors into putting money into “initial coin offerings”.
Facebook is certainly not the only platform to host fraudulent promotions.
Recently, some investors were hoodwinked into buying a digital coin supposedly promoted by John McAfee — founder of cybersecurity firm McAfee — through his “official Twitter account”, only to find out later that the “tweet” they saw was actually sent from a bogus Twitter account with an almost identical Twitter handle as McAfee’s official one.
This was just one of a myriad of cases where people got hoaxed into buying cryptocurrencies and became victims of such schemes in recent months.
In its latest blog post, Facebook provided the following statement:
“We want people to continue to discover and learn about new products and services through Facebook ads without fear of scams or deception. That said, there are many companies who are advertising binary options, ICOs and cryptocurrencies that are not currently operating in good faith.”
Today’s announcement marks another critical step in Facebook’s pathway to clean up its platform. Over the past few weeks, Facebook already made significant changes to its News Feed, aiming to filter out untrustworthy news sources while boosting local news outlets and posts from friends and family.
Time will tell how effective Facebook’s new policy will be in protecting its users from more cryptocurrency scams, but this is definitely good news for the Facebook audience.
Featured Image: Twitter