In January, the social media platform Facebook announced that it is banning the cryptocurrencies ads which are greatly related to deceptive and misleading activities, like ads related to Bitcoin and ICOs. After this, all the social platforms have not started doing this and have forbidden cryptocurrency advertisements. Now, the new companies who want to introduce their cryptocurrencies can no longer use those social media platforms for advertisement. Well, some experts have informed that besides banning, the companies are doing great and the ban idea might even be a good thing.
In March the tech giant Google announced that it would soon ban the cryptocurrency advertisement from its platforms. Then MailChimp, Twitter, and Snap followed this rule. In 2016, Reddit banned the cryptocurrency ads. So, in such situation, if one wants to do advertising, the best way will be word of mouth. As per the Securities and Exchange Commission, token sales will be treated as securities, and that should be registered with the agency. Recently the SEC-registered a complaint against the founders of Centra Tech Inc. which deals with celebrity endorsement. By orchestrating a fraudulent ICO, the authority also arrested two persons of Centra Tech.
Jerry Brito, the executive director of Coin Center, a non-profit research center stated, “I do think that, simply, platforms like Facebook and Google ultimately want to be seen as good corporate citizens.” Now the situation is like; the good ICOs will also not be able to use Facebook and Google for advertisement. Google and Facebook control more than half of the online advertising market in the U.S.
However, Google is now supporting blockchain technology, and companies like the United Nations and IBM are still doing investment in it. Catheryne Nicholson, the CEO of BlockCypher, stated, “I don’t think the ad banning will have much effect on the future of the technology.”