Change of heart for Facebook on Cryptocurrency ads ban
Facebook has announced its decision to reverse its policy banning cryptocurrency advertising, although it will uphold its ban on the promotion of initial coin offerings.
The company claimed that it has been looking into the best way of fine-tuning its initial blanket ban on cryptocurrency-related advertising, allowing some pre-approved ads through ‘whilst also working to ensure that they’re safe’.
Facebook’s updated ‘prohibited products and services policy’ now states: “Starting June 26, we’ll… allow ads that promote cryptocrrency and related content from pre-approved advertisers. But we’ll continue to prohibit ads that promote binary options and initial coin offerings.’’
Advertisers will now have to submit an application to allow Facebook to check their suitability, with instructions to include ‘any licenses they have obtained, whether they are traded on a public stock exchange, and other relevant public background on their business’.
Given these restrictions, Facebook concedes that “not everyone who wants to advertise will be able to do so.” The company says it will listen to feedback and “if necessary” revise its policy over time. It also states it will continue to “study” the technology underpinning cryptocurrencies as it continues to develop its policy.
The initial ban, which was announced in January, was designed to prevent “ads that promote financial products and services that are frequently associated with misleading or deceptive promotional practices.”
At the time, Facebook stressed that its initial policy was “intentionally broad,” to allow the company time to forge measures to detect and prevent unscrupulous promoters.