BUSINESS | Dec 02, 2021 | WOZINGA NEWS
Facebook implements a new lenient cryptocurrency ads policy
Facebook becomes tender to start-ups in promoting cryptocurrency ads.
By Marielle Petere Wozinga Staff
Facebook, now named Meta, announced its new policy to permit cryptocurrency companies to run ads on its platform.
From three acceptable licenses, Facebook has expanded its eligibility criteria for running ads about cryptocurrency. Starting on December 1, the largest social media company has approved 27 regulatory licenses.
Facebook's digital currency plans
The announcement for the revised crypto ads policy came after David Marcus, the head of Meta’s cryptocurrency efforts, revealed on Tuesday that he will be leaving the company at the end of this year.
In January 2018, the company banned cryptocurrency ads. It prevented start-ups from promoting cryptocurrency on Facebook and Instagram. Later, the company declared its plans for digital wallet and currency in May 2019.
Novi is its digital wallet product; the company launched it in October. But, Diem, its digital currency, is still unreleased. An independent association remains to run the project.
Meta tried to roll out the digital currency. But the project failed to send the currency online to anyone around the world through utilizing Facebook products. Besides, lawmakers and regulators worldwide keep an eye on the company.
New ads policy for cryptocurrency start-ups
Facebook implemented a variety of requirements or signals to confirm eligibility of license before. Currently, advertisers can submit one of these 27 licenses.
The company has claimed the change of policy allows a greater number of advertisers to grow their business, even small businesses.
“The list of products and services that require pre-approval also won’t change,” the release also added.
Consequently, the company continues to require prior written permission based on the criteria: cryptocurrency exchanges or trading platforms, cryptocurrency wallets, and hardware and software for crypto mining.
“We’re doing this because the cryptocurrency landscape has continued to mature and stabilize in recent years and has seen more government regulations that are setting clearer rules for their industry,” the company explained in a statement.