UK Advertising Watchdog Slams eToro, Coinbase for 'Misleading' Crypto Ad

The Advertising Standards Authority (ASA), the British advertising regulator, has cracked down on eToro, Coinbase for running paid 'irresponsible' and 'misleading' ads on online platforms to promote their cryptocurrency services.

Coinbase's ad was seen on Facebook on July 27, 2021, that included the test: "£5 in #Bitcoin in 2010 would be worth over £100,000 in January 2021. Don't miss out on the next decade, get started on Coinbase today." However, eToro's ad appeared on the Yahoo Finance website on August 27, 2021, which primarily promoted the platform's ready-made crypto investment portfolio.

In both cases, the ASA called the ads 'irresponsible' and 'misleading' for taking 'advantage of consumers' inexperience or credulity' and 'to illustrate the risk of the investment'.

Both the companies are now directed to not run the ads in the previous form and ordered them to clarify the risks and unregulated nature of cryptocurrencies in the United Kingdom.

The UK watchdog already flagged other crypto advertisements in the country and included 'red alert' priority on crypto advertising.