It’s official, Facebook has banned people entirely from advertising bitcoin and other cryptocurrencies.
Bitcoin and other investments are being used to lure people into scams. Facebook said it had found a huge number of people using the site to advertise misleading and dangerous offers. It identified a range of different, popular scams, which often use wording like: “Use your retirement funds to buy bitcoin!”.
In a post published on Tuesday, Facebook Product Management Director Rob Leathern wrote: “We want people to continue to discover and learn about new products and services through Facebook ads without fear of scams or deception. That said, there are many companies who are advertising binary options, ICOs and cryptocurrencies that are not currently operating in good faith.”
The new Facebook ad policy states that “Ads must not promote financial products and services that are frequently associated with misleading or deceptive promotional practices, such as binary options, initial coin offerings, or crypto-currency.”
UK’s financial regulator has warned public that fraudsters are using surge in cryptocurrency to trick people into scams. Fraudsters are contacting people online and through social media to offer them the chance to invest in cryptocurrencies and financial instruments. The solicitations often promise high returns and come alongside pictures of expensive watches and cars in an attempt to entice people to invest.
In the Philippines, as early as December last year, the Bangko Sentral ng Pilipinas has also warned the public regarding ‘pyramid’ schemes involving virtual currencies, which are seen as “highly speculative and risky.”
What is Bitcoin?
Bitcoin was the first of what have become known as “cryptocurencies”. These are forms of digital money that use encryption to secure transactions and control the creation of new units.
The plan was to make a form of currency not controlled by governments or businesses, that you could trade globally with no cost and without having to reveal your identity. You can read more about bitcoin at mirror.co.uk