Facebook has decided to reverse a ban on all cryptocurrencies ads that the platform introduced earlier this year as it was facing multiple threats, ranging from compromising its customer data to airing crypto ads that mislead people. However, as the allegations have been cleared and the company’s founder and CEO Mark Zuckerberg appeared in front of a committee to testify, Facebook seems to have regained its confidence.
On June 26, Facebook updated its policy again, allowing individuals to advertise cryptocurrencies and all related content. However, this time the company is focusing on pre-approved advertisers, meaning that there will be some control over who gets to air their ads. ICO campaigns are still a persona non grata on the platform, though, along with binary options.
Looking back, Facebook banned ads in January, targeting all “financial products and services” that were related to “misleading or deceptive promotional practices.” However, cryptocurrencies themselves don’t seem to be the real problem.
Much Bang for No Buck
The underpinning problem that has soiled the whole community lies in a very simple fact. Nothing ensures that the ads are truthful. In other words, hopeful investors get sucked into something that outwardly appears to be promising, but instead of participating into the sale of a lucrative tokens that presages new scalable projects, the con artists just take the money and flee leaving everyone in a state of confusion.
And so Facebook is back on the cryptocurrencies, promising to be more careful this time around. It’s understandable that the company will want to put forth more ads, however, it will also have to focus on how to make those genuine and reliable. According to the company’s product management director Rob Leathern, the months leading up to the most recent change were spent deliberating all drawbacks of an ad policy featuring crypto ads.
The Solution in the Queue
To tackle the mounting pressure Facebook faces from users, the company has developed an application submittal process, which will enable the company to sift through all ads and root for those firms and companies that have a public background, which will let authorities to investigate and pursue them should an initiative prove a scam.
Meanwhile, another heavyweight in the online ad business, Google, has also been banning ads since June. Google has specified that crypto ads are “emerging threats” and the company may not safeguard people from falling victim to the fraudulent type. As a result, a blanket-ban would work best, the company argued.
Microsoft is also on the chase and will pursue cryptocurrency ads, taking them down from its own search engine, Bing. The company is also concerned over the safety of all users of its platform and products and as a result, it’s joining Google in the decision to put a damper on the threat.
Facebook will remain the last bastion where cryptocurrency ads can live. As we have seen, social media does have a say in how the pricing of cryptocurrencies is determined. Meanwhile, Facebook urges its customers to report any content that they find suspicious. However, to the investor who wants to get a quick buck, the time to report a fraud may just be a waste.