Bitcoin ad claiming it’s ‘time to buy’ crypto banned in UK Business News

Posters telling the public that it is ‘time to buy’ Bitcoin have been banned for not mentioning the risks of investing in cryptocurrency.

The posters, which were plastered on the London Underground and on London buses in February, featured a cartoon image of a Bitcoin and read, “If you see Bitcoin on the Underground, it’s time to buy. “

Three people complained that the ad did not illustrate the risk of the investment and one complained that it took advantage of consumers’ inexperience or gullibility.

Luno Money, the company behind the ads, told the Advertising Standards Authority (ASA) that the ads will no longer reappear and that future ads will carry an appropriate risk warning.

Advertising rules state that advertisements for investments must make it clear that the value of investments, unless guaranteed, can go down as well as up.

The ASA said it understands that the initial capital invested in Bitcoin is subject to price fluctuations which could result in both losses and gains in value.

The ad would likely have been seen by consumers who lacked in-depth financial knowledge and experience with Bitcoin and would expect it to be regulated, which it did not, added the ASA.

The ASA said: “We understood that investing in Bitcoin was complex, volatile and could expose investors to losses and considered that this contrasted with the impression given by the announcement, that the investment was straightforward. and conventional.

“For this reason, we concluded that the ad irresponsibly suggested that engaging in Bitcoin investing through Luno was straightforward and easy, especially since the audience it was aimed at, the general public, was probably inexperienced in his understanding of cryptocurrencies, and was therefore in violation of the Code. “

The ASA has decided that the ads should no longer appear.

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This notice was published: 2021-05-26 12:34:54