Meta (formerly Facebook) has announced a new policy for crypto ads on its platform, effectively ending the ban it once put into place for such ads. It cites market maturity and regulatory measures as the reasons behind the change.
Meta has finally ended its ban on cryptocurrency ads with the expansion of the regulatory licenses it accepts. The number of licenses it now accepts is 27, as opposed to three. The ban was enacted when the company was still known as Facebook.
In the post titled “Expanding Eligibility to Run Ads About Cryptocurrency,” the company talks about how increased market maturity and regulatory measures have convinced it to change its stance. Before the new policy, companies would have to submit an application with information such as licenses obtained and public information about the business.
The cryptocurrency community certainly has its gripes with Meta, both for its actions as a social media company and for its crypto-related forays. However, lifting the ban will make some happy as it should increase public exposure to the market.
The increased exposure is a bit of a double-edged sword. Marketing campaigns will be able to make use of the platform’s large user base, but the question is whether disingenuous individuals or groups will tap into the public’s ignorance about the crypto space. Several scams have made use of the platform to attract these uninformed individuals.
The market has come a long way since then, however, and the increased scrutiny of tech giants and regulators should reduce that risk. Facebook itself is preparing for a metaverse project, which naturally drew headlines from both inside and outside the crypto space.
How is Meta’s Diem currency faring?
Diem, the stablecoin project that Meta has been working on for well over a year, seems to be in a bit of a lull. There have been some reports that the company will launch the asset by the end of the year. However, more recent reports don’t show quite as much optimism.
Meta’s head of the cryptocurrency project, David Marcus, announced that he would be leaving the company by the end of the year. Democratic senators in the United States have also asked Meta to discontinue its Novi wallet pilot.
While Diem seems to be becoming a thing of the past, Meta is gearing up to take on the metaverse. The company’s announcement of its effort has sparked a market frenzy for related projects, such as Decentraland and The Sandbox.