ASA declares Bitcoin (BTC) and other crypto marketing a “red alert area”
It’s no secret that the main purpose of marketing is to force a person to become a client or customer of a particular company. Of course, many companies do not hesitate to “slightly embellish” the properties of a good in an attempt to sell it.
ASA studies meme cryptocurrency Floki Inu advertising
The cryptocurrency market is no exception to this rule. Cryptocurrency exchanges constantly promote their services, although, so far, there have been no loud cases of misleading advertising. However, the Advertising Standards Association (ASA), after conducting one of its latest investigations, stated that such cases are still present. In this regard, crypto marketing is now officially recognised as a “red alert area”.
The reason for the ASA investigation was meme cryptocurrency Floki Inu, a “disciple” of Dogecoin (DOGE). It prompted the Advertising Standards Association to reaffirm its crypto crackdown, saying that they would not hesitate to impose sanctions against advertising that violates their rules.
The three-week advertising campaign took place in October on the London underground and buses. It encouraged people to buy Floki Inu, saying “Missed Doge? Get Floki”.
ASA insists on compliance with the marketing rules
At the moment, it is unknown what exactly alerted the ASA about the Floki TFL (Transport for London) advertising campaign, but we already know that this organisation is checking a huge number of crypto adverts across various media spaces. ASA will impose sanctions on the companies that don’t comply with its rules.
It is also worth noting that this is not the first incident involving TFL. In May, the ASA banned a Luno exchange ad, as it called for buying digital assets without warning about the associated risks.
At the moment, the ASA insists that cryptocurrency advertising should avoid crypto jargon and should warn about the associated risks, such as possible sharp fluctuations in the value of cryptocurrencies.
I am sure that crypto assets are a new type of economy. We are at the origins of the crypto revolution. Right now, it is worth studying what cryptocurrencies and the blockchain are in order to make the most of this knowledge and these skills in the future.
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.