In a blog post, Rob Leathern, Facebook's director of product management, said the social media giant is refining its approach to allowing crypto ads on its platform after it announced in January it was banning cryptocurrency ads that promoted binary options and initial coin offering (ICO). Leathern said at the time that Facebook made it clear the policy was broad on purpose until it figured out what were the deceptive and misleading advertising practices.
In the past few months, he said the company looked at the best way to refine the policy to enable some ads and, at the same time, keep users safe. The result: Cryptocurrency ads can run on the platform, but Facebook is banning ads that promote binary options and ICOs.
Leathern wrote, "Advertisers wanting to run ads for cryptocurrency products and services must submit an application to help us assess their eligibility — including any licenses they have obtained, whether they are traded on a public stock exchange, and other relevant public background on their business," wrote the executive. "Given these restrictions, not everyone who wants to advertise will be able to do so. But we’ll listen to feedback, look at how well this policy works and continue to study this technology so that, if necessary, we can revise it over time."
He ended by encouraging users to report content that violates advertising policies of Facebook.
The move on the part of Facebook comes after it said in May it that was creating a blockchain unit led by one of its most senior executives, David Marcus. That raised among those in the blockchain world, because the social media company said little in public about what the group will be doing. Facebook’s motivation to embrace blockchain could be a competitive move to be ahead of any threat that comes from a rival.
The company has been adept at quickly moving to kill the competition, whether it’s with Instagram or WhatsApp. In those two cases, it made purchases to bring them under its umbrella. It can’t buy blockchain, but it can create a unit to start working on it.