Facebook Bans Cryptocurrency and ICO Ads

The company created a new policy to improve the integrity and security of ads and to make it harder for scammers to profit from a presence on Facebook
31 January 2018   2979

Facebook created a new policy that prohibits all advertisements for cryptocurrency and ICOs as part of an ongoing effort to improve the integrity and security of ads and to make it harder for scammers to profit from a presence on Facebook. The policy specifically prohibits ads that promote those types of products and services that are frequently associated with misleading or deceptive practices, the company said.

New Ads PolicyThe new policy of Facebook

We want people to continue to discover and learn about new products and services through Facebook ads without fear of scams or deception. That said, there are many companies who are advertising binary options, ICOs, and cryptocurrencies that are not currently operating in good faith. This policy is intentionally broad while we work to better detect deceptive and misleading advertising practices, and enforcement will begin to ramp up.

 

Rob Leathern

Product management director, Facebook

Leathern also said that the decision isn’t permanent and that Facebook will revisit the rules when it’s gotten better at detecting and removing bad ads.

The company will be working to better detect deceptive and misleading ads that pertain to cryptocurrencies, ICOs and binary options. Meantime, Facebook is encouraging people to report content that violates this policy.

SEC to Cease Simex Securitites Trading

As reported, under the federal securities laws the SEC can suspend trading in a stock for 10 days
23 October 2018   41

The US Securities and Exchange Commission (SEC) suspended trading in securities of the American Retail Group (OTC: ARGB), also known as Simex, Inc. This is reported on the website of the agency.

According to representatives of the regulator, the decision was caused by false statements by the company about partnership with a “qualified and approved custodian”. The company also conducted an ICO, which allegedly "officially registered in accordance with the requirements of the SEC."

The SEC does not endorse or qualify custodians for cryptocurrency, and investors should use vigilance when considering an investment in an initial coin offering.
 

Robert A. Cohen

Chief, SEC Enforcement Division’s Cyber Unit

As reported, the SEC can suspend trading in a stock for 10 days and generally prohibit a broker-dealer from soliciting investors to buy or sell the stock again until certain reporting requirements are met.

Also earlier this month, the American regulator recommended investors to "be vigilant when considering the possibility of investing in the ICO."