Last year, Facebook made a surprise decision to bar companies in the blockchain and cryptocurrency industry from displaying ads on the platform. This decision caused uproar in the market and the said companies lost millions of dollars in revenue. Yesterday, Facebook management team announced that it was reconsidering the decision and loosen this ban.
Facebook Roll Back on Cryptocurrency Ads Ban
The decision to loosen the ban comes amid reports that this social media giant is ramping up efforts to create and launch its own cryptocurrency. Companies whose products and services are in one way or another related or reliant on blockchain technology and cryptocurrencies can now promote themselves on this social network site.
It will be remembered that Facebook started blocking ads related to initial coin offerings and cryptocurrencies in January 2018. At the time of implementing the ban, the company said that they made the decision to protect users from being scammed.
This new development means that companies that received prior written approval to post ads on the platform can go ahead and activate them. Reports indicate that under the new ads policy, most of the ad times will not require any form of approval.
When making the announcement, Facebook said that they have put into consideration the feedback sent by advertisers and evaluated the effectiveness of the policy. The team went ahead to state that while the company still need advertisers to apply to post ads related to cryptocurrencies, starting today, they would narrow down the policy. This means that companies will not be required to apply for pre-approval before posting ads related to industry news, events, education, and blockchain technology.
Over the last one year, Facebook, the largest social media platform in the world, has been criticized about the wide reach of the policy. For example, in October last year, CNBC highlighted how the ban affected Bloom, one of the blockchain start-up companies in San Francisco. Bloom uses blockchain technology to give its target audience more control over their personal data online. Before the ban, the company had spent a generous amount of money on Facebook ads that promoted their services. The sudden ban of such ads affected its operations greatly.
As mentioned earlier, there are reports that the company is working on its own cryptocurrency. The roll back on the cryptocurrency ban policy could be a sign that the project is in the final stages. The decision may pave the way for full launch of the new cryptocurrency.
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