Cryptocurrency and fundraising (ICO) ads are no longer welcome on Facebook. The social network has just taken new rules to ban them.
Facebook whistles the end of recess for commercials dedicated to cryptocurrencies. The community site presented Tuesday, January 30 new advertising rules, grouped in the section on "prohibited financial products and services." Thus, the social network explains that "deceptive or misleading advertisements have no place" on the platform.
"We have implemented a new policy that prohibits advertisements that promote financial products and services that are often associated with misleading or deceptive promotional practices, such as […] Initial Coin Offering (ICO) and cryptocurrency. ", Wrote a Facebook official. The provision applies to Facebook and its Instagram affiliate, among others.
"There are a lot of companies advertising fundraisers and cryptocurrencies that do not operate in good faith," says the company. No name is given, but the tightening of its policy occurs when there was in January the case BitConnect, a service accused of using a fraudulent financial arrangement by promising a fixed rent through cryptocurrencies.
The decision made by Facebook is not directly related to BitConnect but this site is indicative of a trend in the background: with the success that meet the public virtual currencies, starting with the inevitable Bitcoin, Ethereum, Litecoin and Bitcoin Cash, despite their extreme volatility, a bubble formed and dubious projects emerged in its wake.
BitConnect, the Ponzi blockchain. A vector of decentralization
Paradoxically, the cryptocurrency was seen earlier this year by Facebook boss Mark Zuckerberg as a way to return to decentralization. "Many people now believe that technology only centralizes power instead of decentralizing it," he said in a publication on his wall on Jan. 3. He added:
"There are important counter-trends to this – such as encryption and cryptocurrency – that take the power of centralized systems and put it back into the hands of people. But they may be more difficult to control. I am interested in digging and studying the positive and negative aspects of these technologies, and how best to use them in our services. "