The UK’s marketing regulator banned two adverts from Crypto.com following a complaint
The U.K. Advertising Standards Authority (ASA) has banned two Crypto.com ads in the latest enforcement. It is known that this move comes after they received complaints from users.
UK regulator bans two Crypto.com ads in latest crackdown
The two ads respectively, the first, seen on September 1, 2021, in the Daily Mail app, prominently reads “Buy Bitcoin with credit card instantly.” The second ad, seen on July 30, 2021, in the Love Balls app, promised: “up to 3.5% p”. The number in the text increased to “8.5%.”
“We understood that consumers would interpret the claim ‘Earn up to 3.5% p.a.’ which increased to ‘Earn up to 8.5% p.a.’ to mean that any deposit could increase by the highest amount shown,” the Advertising Standards Authority (ASA) said.
The reasons for the ban were ads that failed to illustrate the risk of an investment, lack of accountability, and took advantage of consumers’ lack of experience or reliability. The watchdog also opposes the suggestion that consumers should buy cryptocurrencies on credit without warning about the risk of debt.
No fines were issued, only a warning that future advertisements must include details clarifying that the value of crypto investments can go down and increase.
The ban adds to a series of other rulings against crypto-related companies from the regulator. It banned seven crypto ads in December, calling crypto assets a ‘red flag’ priority. Companies include trading platforms eToro and Coinburp; exchange EXMO, Luno, Kraken, and Coinbase; and promotion from the Papa John’s pizza chain.
London travel network cracks down on crypto ads amid regulation blitz
In another development, Transport for London (TfL), London transport authorities, have tightened the reins on crypto advertising following a number of rulings by the UK’s marketing regulator.
“Transport for London is not currently approving any adverts which look to promote crypto products in a similar fashion to those being investigated”, they said.
TfL has been monitoring crypto advertising since 2018, but only recently decided to take a harder line on ad approvals.
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