A new report published by the ‘Times tabloid’ has called for a ban on cryptocurrency products and assets.
The report which cited recent cryptocurrency scams that cost investors millions called for a restriction of adverts, especially on social media.
“As a result of their novelty and relative obscurity, cryptocurrency scams and frauds target individual investors and corporations. In fact, according to FBI investigations conducted between 2012 and 2017, more than 1 million Americans lost money investing in cryptocurrency scams during those six years alone, with recent estimates putting losses from all types of scams at more than $50 billion over the past decade alone.
“Facebook could lead the way by disallowing advertisements for cryptocurrencies and so-called “Initial Coin Offerings” on its social media platforms. This would demonstrate to advertisers that Facebook is serious about protecting its users and itself from potential legal liability.
“In recent years, several cryptocurrency-related companies have been fined by regulators after they engaged in fraudulent or misleading behavior related to their advertising campaigns. By removing these ads from its platform, Facebook would demonstrate that it wants to be a responsible actor on this issue. And thus, will become less of an attractive target for regulatory scrutiny of its practices around advertising cryptocurrencies and ICOs.
“Google and Twitter should follow suit
“n their current state, the companies are allowing cryptocurrency ads on their platforms. They have been doing so for years now. This has allowed scammers to take advantage of this open market and scam unsuspecting investors with fake ICOs (Initial Coin Offerings). They will even create fake wallets that steal your private keys and make them available for sale on the dark web – where hackers buy them up like candy!”
The report also warned potential investors that cryptocurrency comes with its risk, as investments are not insured.
“You should know that cryptocurrency investments are not insured like traditional bank accounts and stocks. Hence, investors risk losing everything if the value of their currency falls to zero or if their exchange website hack.” it read.
