BITCOIN got an unlikely boost yesterday after Facebook became the first major technology firm to reverse its decision to ban crypto advertising. One expert said that Facebook’s step will help take the bearish crypto market “back towards the bulls.
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Bitcoin is priced at $6,108 following an overnight dip and recovery. Ethereum has dropped to $433 with Ripple down at $0.46.
Facebook has decided to drop its controversial ban on cryptocurrency adverts is what could well be a massive boost for all cryptocurrencies.
In January Facebook said that it would “prohibit ads that promote financial products and services that are frequently associated with misleading or deceptive promotional practices, such as binary options, initial coin offerings and cryptocurrency.”
The statement announcing the u-turn said: “In the last few months, we’ve looked at the best way to refine this policy — to allow some ads while also working to ensure that they’re safe.
“So starting June 26, we’ll be updating our policy to allow ads that promote cryptocurrency and related content from pre-approved advertisers. But we’ll continue to prohibit ads that promote binary options and initial coin offerings.”
The news has been soundly welcomed by the cryptocurrency community.
Nigel Green, founder and CEO of deVere Group has said that the end of the ban will “prove to be another catalyst for the unstoppable cryptocurrency revolution”.
Mr Green said: “The lifting of this controversial ban must be welcomed. Whilst we respect Facebook’s good intentions behind prohibiting the adverts, an outright ban on new concepts and innovation is seldom a positive or helpful stance.
“With the social media giant taking this proactive step, which is fuelling global speculation that it could now also have its own crypto ambitions, I believe history will show that this decision to lift the ban will prove to be another catalyst for the unstoppable cryptocurrency revolution.”
He continues: “The crypto market has been in bear territory over the last week or so. Facebook’s step can be expected to help take it back towards the bulls.”
Mr Green adds that although there is likely to be “bearish sentiment” for a while yet, he adds “savvy investors are looking at the bigger picture. For instance, Bitcoin, the flagship cryptocurrency, is still 140 per cent higher than this time last year.”
Further support comes from Iqbal Gandham, UK Managing Director at eToro, who told Express.co.uk yesterday: “We have always advocated for a more sophisticated approach to cryptocurrency advertising, as we believe legitimate providers shouldn’t be lumped in with rogue operators.
“Customer safety and education about the market should remain a priority, but a blanket ban is a poor approach to new ideas.
“Technology giants like Facebook are aware of the potential of blockchain technology to fundamentally change the financial system, so it is good to see that they are giving their customers a chance to contribute.”