UK Wants to Control Crypto Ads There is no doubt that the cryptocurrency industry is growing rapidly. So much so that it has caught the attention of
UK Wants to Control Crypto Ads
There is no doubt that the cryptocurrency industry is growing rapidly. So much so that it has caught the attention of the entire world. This includes the public as well as the regulators of all countries. Gone are the times when the industry used to exist as a small bubble. Things are heating up and mainstreaming is almost here. To this end, globally, regulators are concerned about protecting the regular crypto users.
In the UK, for instance, they are considering regulations in a holistic manner. They are also concerned about advertisements relating to bitcoin & crypto assets. As a result, the regulators there want to bring crypto ads under direct government oversight. This is a really interesting development as it might influence other countries to do the same. In fact, in order for the industry to grow responsibly, this is a necessary step.
Focus On Crypto Ads
The government in the UK is looking to protect British consumers from falling into the trap of scams. The crypto industry is already quite infamous for this. This is not a surprise. It is a new industry with promises of making a lot of money. Gullible people may find their way into the industry through the wrong means. One of these can be scam crypto ads.
Usually, scammers place ads online promising great returns for crypto deposits. People who are not aware of such scams end up depositing their crypto into the hands of the scammers. This causes them to lose their funds. This has been happening rampantly on YouTube and Ripple has even sued it for doing nothing. There are other means that scammers use as well and they are just as effective.
This is why it’s important for the regulators to being crypto ads under its watch. That way, consumers can know whether or not a crypto ad is real or fake. If the recent proposal published on July 20 is accepted, the FCA (Financial Conduct Authority) will become their regulator. This is the first time that something like this is going to happen in the world.
Crypto Industry Maturing
These are signs that the industry is maturing. As with previous financial innovations, crypto is poised to see many protections in place. This will ensure that regular consumers can take part in this space while being safe and secure. The UK’s Economic Secretary to The Treasure, John Glen, has stated it quite well recently.
He said, “It’s important that people can understand the financial products they see promoted. If adverts by unauthorized firms are misleading or don’t fully outline the risks, then people can end up losing money. That’s why we want to put more protections in place around such financial promotions, including the promotion of crypto assets while continuing to ensure people have access to a wide range of products on the market.”