The UK Advertising Standards Commission (or ASA) has reportedly banned two ads owned by Crypto.com from exchanging cryptocurrency. Order issued Wednesday (5).
Both ads are “internal” ads for use. First, since September 2021, one of the most popular British newspapers has appeared in the Daily Mail application.
“Buy Bitcoin with a Credit Card Now,” it announced.
The second ad appeared on the mobile game Love Balls, which will be available on the iTunes App Store from July 2021.
The ad initially said that users could earn up to 3.5% per annum on cryptocurrencies, but later that figure increased to 8.5%.
Understand the problem
ASA had five concerns and challenged Forisgfs UK Ltd (traded as Crypto.com) on five grounds. “Trade” (or “trade”) refers to when a company operates under a name other than its registered name.
Advertising misleads on these concerns because they fail to explain the risk of investment; Ads are irresponsible and exploit the inexperience or unreliability of customers; Advertising in the Daily Mail is misleading as it fails to clarify the limitations of obtaining crypto by credit card; The statement “Earn up to 8.5%” is incorrect; And the claim of “earning up to 8.5%” can be justified.
Forisgfs UK Ltd claims that the ads were removed voluntarily after learning of ASA’s concerns.
Crypto.com’s first ad (in the Daily Mail) claimed that it only advertised the speed at which users could buy crypto in exchange, not specifically for cryptocurrencies.
Regarding the second announcement, Crypto.com stated that it already refers to the offer for users who trade in cryptocurrencies and therefore does not advertise cryptocurrencies.
The ASA does not accept that advertisements contain any hazard warnings that make consumers aware that cryptocurrencies may lose or gain value.
Furthermore, none of the advertisements make it clear that cryptocurrencies are not regulated in the UK.
“We decided the ads were false,” the ASA said.
The news comes just days after people saw a huge Crypto.com ad featuring actor Matt Damon. Negative reaction on social media.
“There are not enough people in the world to describe Matt Damon promoting the Ponzi scheme,” said The Guardian reporter Carol Godvalat.
“I can not overcome the unfiltered blue that says investing in puppy coins is like landing on the moon,” said computer programmer Stephen Deal.
So far this warning is the latest in a long list of actions taken by the ASA in crypto ads attacking Papa Jones, Edoro, Coinbase and Arsenal.
Translated and edited by Daniela Pereira with permission of Do Nacimento Decrypt.co.
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