Facebook is going to take a pass on cryptocurrency ads and other ads that feature financial products that they believe are often misleading in their advertising. Of course, the definitely of misleading is something left up to the people at Facebook themselves. However, Motherboard reports that Facebook definitely views cryptocurrency and binary option ads as too misleading for their tastes.
The new policy from Facebook comes as the company has faced a lot of criticism from the public over their handling of ads posted on their site during the 2016 election cycle. It has been proven that Russian-backed companies and actors were on the site posting ads with false or misleading information in order to try to influence the election in one way or another. Facebook has been dragged before Congress to answer to those accusations several times recently. Thus, they are particularly attuned to what kind of ads they are posting on their own site.
Cryptocurrencies and other financial products like this are frequently advertised in ways that are not entirely truthful. There are some who claim to be experts in the field or who promise those who follow their plans levels of returns that are simply unrealistic for what is actually likely to happen. Those are the kind of actors that Facebook wants to eliminate from their platform.
The largest social network also says that it will not allow ads from so-called “ICOs”. That stands for “initial coin offering”. This is when a new cryptocurrency bursts onto the scene, and the ads try to lure in people to purchase some of that new currency. They are generally just trying to get enough people interested in it to make something out of what they have created. Get enough people interested, and you can have them paying just about whatever you want for a potentially worthless currency.
Facebook has simply decided that it is not in their best interest to have those kind of ads running on their site. They have a lot better opportunities with other forms of advertising to build up the kind of money that they want to make. Even as a public company, Facebook knows that they have to be selective about how they make their money. They do not want to tip over the apple cart and make anyone upset with them. Sometimes policies like this are necessary just to preserve the image of the company.