The U.K.’s advertising watchdog released a red alert priority issue about crypto ads
According to CoinDesk, the U.K.’s Advertising Standards Authority (ASA) has issued enforcement notices to more than 50 companies that have advertised crypto services, advising them to review their ads to ensure they comply with a new guide.
The 50 list includes all the companies that previously been subject to the ASA rulings. Coinbase (COIN), eToro, Luno, and Crypto.com are among these companies.
“This is a ‘red alert’ priority issue for us, and we’ve recently banned several crypto ads for misleading consumers and being socially irresponsible,” the ASA said.
The new guidelines require advertisers to explicitly state that cryptocurrencies are not regulated in the UK and that the “value of investments is variable and can go down.” Additionally, ads must not “state or imply that investment decisions are trivial, simple, easy or suitable for anyone” or “imply a sense of urgency to buy or create a fear of missing out, or that investments are ‘low risk.’”
Companies advertising crypto services have until May 2nd to ensure their ads meet this guideline, after which advertisers who do not comply will be reported to the financial watchdog. The Financial Conduct Authority (FCA).
In January, the FCA announced plans to tighten oversight of crypto advertising after being granted additional powers by the government to regulate the industry.
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