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- Using AI and scraping, the Advertising Standards Authority of the United Kingdom is boosting its power to identify deceptive crypto adverts
- The bitcoin business is being regulated more strictly in the United Kingdom
- The UK’s independent advertising regulator, the Advertising Standards Authority, plans to undertake a big push this month to track down and shut down deceptive crypto advertisements
Using AI and scraping, the Advertising Standards Authority of the United Kingdom is boosting its power to identify deceptive crypto adverts. A major native advertising business group has announced a crackdown on cryptocurrency advertisements, as the UK takes a tougher regulatory position on the cryptocurrency industry. According to the Financial Instances, the Advertising Requirements Authority (ASA), the United Kingdom’s independent advertising regulator, aims to undertake a major operation this month to track down and shut down false crypto advertisements.
The Advertising Standards Authority (ASA) in the United Kingdom will scrutinize any cryptocurrency promotion, particularly on social media, and take action against anything it deems deceptive or irresponsible. The Financial Conduct Authority (FCA) as well as some commercial banks in the country have been cracking down on this.
Lockwood’s thoughts on cryptocurrency ads
The ASA’s director of complaints, Miles Lockwood, stated that the agency would focus on irresponsible crypto advertisements displayed online and on social media platforms, adding, We see this as an incredibly critical and priority area for us. Wherever concerns are discovered, we will act swiftly and decisively.
According to Miles Lockwood, director of complaints and investigations at the ASA, we regard this as an absolutely vital and priority area for us. Wherever concerns are discovered, we will act swiftly and decisively. Warnings will be issued to violating businesses, and they may be required to include disclaimers in their marketing. The commission is also debating whether more action should be taken against social media personalities who promote cryptocurrency.
The ASA has designated crypto commercials as a red alert priority over financial ads, according to Lockwood. As a result, the regulator is beefing up its ability to track suspicious adverts online using scraping and artificial intelligence. As part of a separate campaign, the ASA is working with huge digital platforms to get scam ads removed. The commission also intends to issue warnings and may mandate that players include disclaimers in their marketing.
UK advertising watchdog cracks down on misleading crypto marketing
AdScope will now attempt to identify and remove misleading or irresponsible crypto campaigns. Crypto is deemed a red hot topic in finance ad efforts said the agency. Some advertisers will include warning notes or must add disclaimers when implementing advertisements. Major crypto investments fall outside of the scope of the strict rules on the promotion of traditional financial products, examined by the Financial Conduct Authority. ASA has criticized LUNO’s ads campaign on the London Underground with the slogan: If you saw Bitcoins on the Underground it’s time to buy.
The ASA’s reports
We acknowledge that there are some sorts of media that we haven’t been able to properly address until now, said Louise Maroney, the ASA’s head of financial complaints. The ASA has redoubled its attempts to oversee crypto commercials, according to the article, because most crypto investments lie beyond the reach of the UK’s rigorous restrictions for promoting traditional financial goods. This year, the regulator has paid close attention to advertisements in the crypto industry, removing some from crypto exchanges such as Luno and Coinfloor.
Because most crypto investments fall outside the scope of the UK’s strict rules for promoting traditional financial products, which are scrutinized by the Financial Conduct Authority, the advertising industry’s self-regulatory body has been thrust to the forefront of efforts to supervise cryptocurrency advertisements, according to the Financial Times. That isn’t to say the FCA isn’t doing something about it. It ordered Binance Markets, one of the largest bitcoin (BTC-USD) exchanges in the world, to delete all of its advertising and financial promotions earlier this month.
The ASA told that it plans to conduct proactive monitoring and enforcement of crypto advertising in the coming weeks, as well as develop more recommendations. According to the Financial Times, the ASA has designated cryptos as a red alert priority.
Despite the ASA’s increased focus on the crypto ad business, the Financial Conduct Authority, the UK’s main financial regulator, does not believe that crypto investment is primarily driven by adverts. Only a small percentage of consumers buy digital coins because of advertisements, but those who do have worse outcomes, according to the FCA’s crypto consumer research, which was released in mid-June.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
