South Africa’s Advertising Regulatory Board (ARB) has instructed cryptocurrency providers and influencers to inform in their advertisements that investing in cryptocurrencies can lead to capital loss.
ARB stated in it report On Jan. 23, crypto ad providers will be required to deliver a balanced message about the benefits, benefits, and risks associated with their assets.
Regulated crypto advertising
Ad providers should make it clear that past performance is no guarantee of good future performance, ARB said.
“Advertisements should explicitly and clearly state that investing in crypto assets may result in loss of capital as the value may fluctuate and rise or fall.”
Regulators have also urged cryptocurrency providers to discourage investing in cryptocurrencies using credit. According to ARB’s report, influencers are required to share only factual information about crypto assets when engaging in advertising promotion.
South African regulators have also urged cryptocurrency influencers and ambassadors to stop offering cryptocurrency trading and investment advice to audiences.
