Closed for business: Twitter crypto ad ban comes into effect today
Reddit banned cryptocurrency adverts back in 2016. Most recently Facebook and Google decided to prohibit the activity. Earlier this month another giant, Twitter, announced they’d join the crypto ad ban – a policy that came into effect today.
The move should come as no surprise to followers of all things crypto given the precedent set by Google et al, but it acts as a further indication that the systems and processes involved in trading and investing tokens like Bitcoins are still largely exploited by outfits gunning for the casual and speculative investor, as well as scam-artists and security issues, which have been a constant since digital currencies blew up.
“We are committed to ensuring the safety of the Twitter community. As such, we have added a new policy for Twitter Ads relating to cryptocurrency,” explained Twitter. “Under this new policy, the advertisement of Initial Coin Offerings (ICOs) and token sales will be prohibited globally.”
The news was announced earlier this month
Earlier this month Twitter started removing accounts that sought to exploit people and proliferate crypto scams on the platform. Accounts that impersonated verified people like @VitalikButter became widespread. They instructed followers to send them a small amount of a digital token with the promise that they’d receive more back.
“We’re aware of this form of manipulation and are proactively implementing a number of signals to prevent these types of accounts from engaging with others in a deceptive manner,” explained Twitter in a statement to The Verge at the time.
Cryptocurrencies are suffering globally through ad bans
The price of Bitcoin has suffered as a slew of similar decisions are made regarding cryptocurrencies. Despite positive movements like a global effort on regulation being discussed at this year’s G20 and Google’s decision to develop two types of technology based on the blockchain – the tech behind Bitcoin – investors are reacting to news like Twitter’s advert ban and selling off.
“Today’s news on Twitter’s ban is likely a significant contributor to the steep sell-off. As new retail investors enter cryptocurrency, a large portion of them are trading on raw emotion,” explained Timothy Tam, co-founder of crypto-market intelligence platform CoinFi (via CNBC). The price of Bitcoin currently stands at $8,100 at the time of writing.