Google will purge cryptocurrency ads come June

Google will purge cryptocurrency ads come June

Google will purge cryptocurrency ads come June

Google's parent company Alphabet has brought a new restricted financial products policy that will go into effect from June 2018 onwards.

A bitcoin (virtual currency) coin is seen in an illustration picture taken at La Maison du Bitcoin in Paris, France, June 23, 2017.

This announcement from the biggest provider of digital advertising is notable given the fact that it comes months after the decision by Facebook to ban ads related to cryptocurrencies. "This year, we updated several policies to address ads in unregulated or speculative financial products like binary options, cryptocurrency, foreign exchange markets and contracts for difference (or CFDs)". This blanket policy change also includes a ban on cryptocurrency related services which include ICOs (initial coin offerings), crypto-wallets and crypto related trading advice.

Google said that in order for financial-services companies to have their ads appear on Google sites, the company has to be licensed by "the relevant financial services authority in the country or countries they are targeting, ensure their ads and landing pages comply with all AdWords policies, (and) comply with relevant legal requirements, including those related to complex speculative financial products".

Once news of Google's new policy began making the rounds, cryptocurrency markets didn't react very favorably. Both Facebook and Twitter have now taken steps to clamp down on cryptocurrency scams prevailing on their social networks.

Last year, Google removed 320,000 publishers from its ad network for violating its publisher policies and blacklisted almost 90,000 websites and 700,000 mobile apps. Presently, Google queries for keywords like "buy bitcoin" and "binary options" produce 4 ads at the top of the results.

Google is said to be mirroring what Facebook did earlier this year. In 2017, the company removed 320,000 "bad publishers" from its ad network, up from 100,000 in 2016.

The new policy prohibits ads that promote financial products and services that are frequently associated with misleading or deceptive promotional practices, Facebook said in a statement.

Bitcoin, an unregulated cryptocurrency built upon the decentralized ledger called blockchain, has earned the ire of governments and regulatory bodies globally for a number of reasons, including volatility and lack of oversight.

Cryptocurrency scammers are taking full advantage of popular online platforms to trick people into parting with their hard earned money.

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