Coinbase ads blocked in the UK… “Downplaying cryptocurrency risks”

The UK has banned domestic advertising by Coinbase, a US cryptocurrency exchange.

According to The Guardian on the 28th, the UK’s Advertising Standards Authority (ASA) recently ordered Coinbase to stop running its ads. Coinbase had been running a series of video ad campaigns since August. The ASA said “the campaign gives the impression that using Coinbase could be an alternative to coping with cost-of-living pressures,” adding that it “downplayed the risks associated with investing in cryptocurrencies.”

Regulators also took issue with the ads’ humor. The ASA noted that “using humor that implies ‘change’ while referring to serious financial problems risks presenting complex and high-risk financial products as an easy or obvious solution.”

The ASA also ordered the removal of three Coinbase poster ads. The posters reportedly carried phrases such as “Buying a home is out of the question,” “Real wages have been stuck at 2008 levels,” and “Eggs have now been cut from the budget.” The ASA said “the posters contained no information at all about the risks of cryptocurrency investment.”

Meanwhile, the UK Financial Conduct Authority (FCA) has said of cryptocurrency investment that “most [assets] are largely unregulated and high-risk, and investors could lose all their money.”

Coinbase pushed back immediately. The company said, “While we respect the regulator’s decision, we fundamentally cannot agree with characterizing a campaign that critically reflects widely reported economic conditions as socially irresponsible.” It added, “The ads were not intended to offer a simple solution or minimize risks, but to spark discussion about the state of the financial system and the need to consider a better future.”