The UK’s Advertising Standards Authority and politicians have expressed concern about an advert promoting Floki Inu tokens and have launched an investigation into the advert.
Politicians questioned the approval of the advertisement
The Advertising Standards Authority (ASA) in Britain will investigate whether advertising for Floki Inu on London Underground buses breaks advertising rules. Some politicians in the U.K., including Sian Berry of the Green Party London, have questioned the approval of these advertisements by Transport for London. The ad displayed the following text “Missed Doge? Get Floki.” Floki Inu, the Georgia-based company behind the cryptocurrency, claims to have followed all the rules in its ad campaign, including pointing out the risks of investing in cryptocurrencies, and has rejected efforts by politicians to censor such ads.
The ASA has yet to draft legislation on crypto advertising, which should provide greater clarity. It has warned social media platforms about fraudulent advertising in the past and stated that cryptocurrency ads should not contain jargon or language that is difficult to understand and warn of potential risks. The ASA has also said that investors using these cryptocurrency institutions will not be able to use the ombudsman’s services to resolve issues and that they could permanently lose their money.
Not the first time crypto ads have become an issue in the UK
It’s not the first time the Advertising Standards Authority has launched an investigation into cryptocurrency ads displayed underground. It had banned a bitcoin ad campaign across the London Underground network and on London buses by cryptocurrency exchange Luno. The authority stated that the advert was misleading and lacked essential risk warnings. Another example is an advertisement by Coinfloor that described Bitcoin as “digital gold.” In March 2021
The ASA is not the only U.K. regulator concerned about crypto advertising. Earlier this year, the U.K.’s financial regulator was unhappy about Kim Kardashian’s ads for the cryptocurrency Ethereum Max and said it wants to work with online platforms that want to protect consumers and their businesses. It hopes to rebuke platforms that do not actively contribute and undermine the trust of their customers. It looks like crypto advertising will remain an issue in the U.K. in both the physical and digital worlds.