Google Bans Cryptocurrency and ICO Ads
Have you been considering investing online in cryptocurrencies or ICOs, the Blockchain project version of an IPO? If you have, from June, don’t expect to find any advertisements on Google from companies keen to publicise their offerings. Amid concerns over a growing number of online scams taking advantage of the swell of investor and wider public interest in cryptocurrency and Blockchain technologies, Google has decided to implement a blanket ban on the industry.
The Google AdWords platform is used by companies to place the small text ads that form part of the search page when you look something up on the search engine. An announcement made today said that from June the platform will no longer publish any ads promoting cryptocurrencies or ICOs. Other online investment sectors that will be affected by the update to Adwords’ global policies include forex, CFDs and binary options trading.
Google’s move follows Facebook’s recent restriction of ads promoting cryptocurrencies and ICOs. Bitcoin’s value plunged 5% today after the Google announcement was made amid concerns that cryptocurrency exchanges, crypto wallet providers and other products and services in the space will find it increasingly difficult to reach new customers. It could hinder the cryptocurrency and Blockchain technology adoption rate.
While opinions on the future of cryptocurrencies and Blockchain-based DApps (decentralised applications) vary, there are many genuine companies and projects in the space. The problem is its unregulated nature has made it a breeding ground for fraudulent practises. Google is concerned that the number of misleading advertising campaigns and schemes that are outright fraud means that the wider industry poses too much risk to users.
Binary options ads will be banned entirely while only CFDs and forex brokers regulated by the financial regulator of the territory they are advertising in will be permitted to advertise on Google. It remains to be seen whether cryptocurrencies and ICOs will be given a similar opportunity to advertise if they meet certain quality standards.
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