The firm has launched a new policy which prohibits ads that are tied to deceptive and promotional practices -- with cryptocurrencies being singled out. Facebook offers as an example of banned ads, ads which say things like "Use your retirement funds to buy Bitcoin", and "Start binary options trading now and receive a 10-risk free trades bonus".
"There are many companies who are advertising binary options, ICOs and cryptocurrencies that are not currently operating in good faith". explains Rob Leathern, Product Management Director for Facebook, "This policy is intentionally broad while we work to better detect deceptive and misleading advertising practices, and enforcement will begin to ramp up across our platforms including Facebook, Audience Network and Instagram. We will revisit this policy and how we enforce it as our signals improve."
Cryptocurrencies have currently been on the rise, with Bitcoin trending upwards for most of the rear end of last year. While the currency is still in heavy fluctuation, many are still trying to jump on the Bitcoin wagon with dreams of becoming the next Bitcoin millionaire. In a sense, it's very much like gambling at the moment, with uninformed users not fully grasping the nuances of the market, and predatory advertisers ready to sell pipe dreams to the gullible.
Facebook says that while it does intend its ads network to be used for niche product discoverability, the possibility of fraud and deception and the stakes in this particular topic means the firm needed to take on more responsibility.