If regulating cryptocurrency wasn’t difficult enough, there’s now the issue of crypto advertisements and advertising to consider. This issue has been generating a dispute across the Atlantic for quite some time. However, new evidence has shone a stronger light on the ethics of crypto advertising.
The figures are insane
According to the UK newspaper The Guardian investigating crypto marketing, Crypto corporations both targeted Londoners and broke records with the amount of advertising they put up in public transit zones.
“Records obtained by the Guardian under the Freedom of Information Act show that TfL services displayed 39,560 crypto adverts from 13 firms in the six months between April and September 2021,” according to the Guardian’s investigation.
The crypto exchanges eToro, Crypto.com, and Luno, as well as a Musk-inspired joke currency, were included in several of the adverts.
Political opponents of the proposal have emphasized the risky financial decisions that the commercials may prompt. Some have advocated for a ban on such marketing, stressing the allure of uncontrolled cryptocurrency amid a period of global economic uncertainty.
This isn’t the first time the UK has seen crypto adverts. To refresh your mind, American reality TV star Kim Kardashian promoted a cryptocurrency token to her massive social media following in 2021. However, Charles Randell, the UK Financial Conduct Authority head, expressed his worry about the situation shortly after.
Arsenal, a British soccer club, was also looking down the barrel of the regulatory gun by the end of 2021. The Advertising Standards Authority [ASA] in the United Kingdom said that ads for the team’s fan tokens violated its rules because they allegedly did not provide adequate information about crypto investment risks.
Furthermore, ASA head Miles Lockwood has described crypto as a red-alert priority issue for the agency. On that topic, as crypto use develops globally, more complaints and investigations will probably be filed by the authority in 2022.
UK’s Lords Economic Affairs Committee
The Guardians’ crypto ad probe comes after the UK’s Lords Economic Affairs Committee said it was not persuaded of the CBDC’s benefits.
Despite hearing from Bank of England and Treasury officials, the committee was concerned about CBDCs’ wide-ranging implications and high risks. It specifically mentioned the dangers of state monitoring, financial instability, central bank domination, and increasing failure risks that others may exploit.