UK Advertising Authority has given notice to many crypto firms

Britain’s Advertising Standards Authority (ASA) has expressed displeasure over crypto and advertising firms promoting high-risk digital assets. More than 50 such firms have been given red alert notices by the ASA for attracting people to crypto assets and putting them at financial risk. Advertising firms have been asked to review such advertisements to ensure that they comply with advertising laws.

As per the new guidelines in the UK, advertisers need to clarify that the crypto segment is not regulated and investors may suffer financial losses due to volatility in crypto. Advertisers have also been asked to refrain from stating that investing in crypto is easy and accessible to all. As reported by CoinDesk, crypto firms such as eToro and Luno in the UK have been served notices. Crypto advertising firms have been given a deadline of May 2 to comply with UK guidelines. Those who violate these guidelines will be dealt with by the Financial Conduct Authority (FCA) of Britain. The UK government has given the FCA powers to oversee the crypto segment.

Earlier this month the ASA banned an advertisement involving the Floki Inu cryptocurrency. Last year, UK MP Sian Berry questioned the mayor of London about crypto-related ads on public transport vehicles. The UK is among the countries creating a framework to regulate the crypto segment.

Recently, laws related to crypto were approved in Dubai. In the US also, work is being done on making laws for the crypto segment. US President Joe Biden has signed an executive order regarding this. It also asked the Federal Reserve to explore the possibility of launching a digital currency. The government in Australia plans to tax crypto. Laws related to payment systems in Australia are to be amended and the government wants to ensure the safety of crypto investors. Rules can be made on the licensing and custody of crypto assets in Australia.