Crypto Ads in Belgium to Feature ‘Punchy Warning’ of Risks, New Rules Imply

0 8

Crypto Ads in Belgium to Feature ‘Punchy Warning’ of Risks, New Rules Imply

knife

The financial regulatory body of Belgium has been tasked by the government to regulate advertisements for cryptocurrencies. New rules, set to enter into force in May, oblige advertisers to clearly warn investors of the risks associated with the digital assets.

Belgium Poised to Protect Consumers From Misleading Crypto Advertisements

Belgium’s Financial Services and Markets Authority (FSMA) has been granted powers to strictly regulate crypto-themed advertising. The new rules, which will be applied in less than two months, are meant to ensure that the risks linked to virtual currencies are “sufficiently prominent” in such advertisements, the regulator said in an announcement on Monday.

A respective regulation issued by the FSMA, which will supervise compliance, has been published in the Belgian Official Gazette on March 17 and will enter into force on May 17, 2023. It prescribes that crypto-related ads must be accurate and not misleading while pointing out the risks.

It also requires that the FSMA is notified in advance about mass media campaigns, those disseminating advertisements to at least 25,000 consumers. The prior notification would allow the regulatory body to intervene before the start of such campaigns if it deems it necessary to do so.

“Advertisements may not emphasize the potential advantages without also providing an accurate indication of the risks, limitations or conditions. Nor may advertisements contain any statements about the future value or return, and must be written in comprehensible language,” the authority elaborated.

One of the rules supplementing these conditions is that cryptocurrency ads must contain a “short and punchy warning,” stating: “Virtual currencies, real risks. The only guarantee in crypto is risk.” Furthermore, they will have to feature, reference, or link to a broader warning presenting the various risks in detail.

The FSMA also intends to do more in regards to financial education about digital assets. It’s currently producing a series of videos devoted to virtual currencies targeting young people. These are part of an educational package that also includes an information sheet for teachers and a quiz for pupils.

The financial authority’s regulatory move comes after last week Belgium’s former Finance Minister Johan Van Overtveldt called on governments to ban cryptocurrencies amid a banking crisis involving two crypto-friendly banks. It also follows the publication of an article in which the head of the Dutch financial regulator vowed strict treatment of crypto businesses under EU’s Markets in Crypto Assets (MiCA) law.

What are your thoughts on the upcoming crypto advertising rules in Belgium? Tell us in the comments section below.

Leave A Reply

Your email address will not be published.

bitcoin
Bitcoin (BTC) $ 41,185.03
ethereum
Ethereum (ETH) $ 2,212.25
tether
Tether (USDT) $ 0.998723
bnb
BNB (BNB) $ 241.85
xrp
XRP (XRP) $ 0.619027
solana
Solana (SOL) $ 69.27
usd-coin
USDC (USDC) $ 0.993912
staked-ether
Lido Staked Ether (STETH) $ 2,215.82
cardano
Cardano (ADA) $ 0.554555
avalanche-2
Avalanche (AVAX) $ 39.06
dogecoin
Dogecoin (DOGE) $ 0.094394
tron
TRON (TRX) $ 0.10363
polkadot
Polkadot (DOT) $ 6.72
chainlink
Chainlink (LINK) $ 14.76
matic-network
Polygon (MATIC) $ 0.837696
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 41,177.03
shiba-inu
Shiba Inu (SHIB) $ 0.000009
dai
Dai (DAI) $ 0.999334
litecoin
Litecoin (LTC) $ 71.77
uniswap
Uniswap (UNI) $ 6.04
bitcoin-cash
Bitcoin Cash (BCH) $ 230.00
leo-token
LEO Token (LEO) $ 3.89
okb
OKB (OKB) $ 57.91
stellar
Stellar (XLM) $ 0.122817
monero
Monero (XMR) $ 172.90
ethereum-classic
Ethereum Classic (ETC) $ 20.02
cosmos
Cosmos Hub (ATOM) $ 9.76
true-usd
TrueUSD (TUSD) $ 0.999814
kaspa
Kaspa (KAS) $ 0.119479
crypto-com-chain
Cronos (CRO) $ 0.098673
immutable-x
Immutable (IMX) $ 1.97
hedera-hashgraph
Hedera (HBAR) $ 0.071104
internet-computer
Internet Computer (ICP) $ 5.25
near
NEAR Protocol (NEAR) $ 2.26
filecoin
Filecoin (FIL) $ 4.60
aptos
Aptos (APT) $ 7.75
optimism
Optimism (OP) $ 2.27
lido-dao
Lido DAO (LDO) $ 2.27
injective-protocol
Injective (INJ) $ 24.15
vechain
VeChain (VET) $ 0.027442
bittensor
Bittensor (TAO) $ 322.34
mantle
Mantle (MNT) $ 0.578748
thorchain
THORChain (RUNE) $ 5.84
elrond-erd-2
MultiversX (EGLD) $ 62.57
quant-network
Quant (QNT) $ 111.37
algorand
Algorand (ALGO) $ 0.197775
celestia
Celestia (TIA) $ 10.61
the-graph
The Graph (GRT) $ 0.158646
havven
Synthetix Network (SNX) $ 4.52
render-token
Render (RNDR) $ 3.93
binance-usd
BUSD (BUSD) $ 0.984866
arbitrum
Arbitrum (ARB) $ 1.09
aave
Aave (AAVE) $ 91.40
rocket-pool-eth
Rocket Pool ETH (RETH) $ 2,426.73
blockstack
Stacks (STX) $ 0.909887
bittorrent
BitTorrent (BTT) $ 0.000001
maker
Maker (MKR) $ 1,379.63
wemix-token
WEMIX (WEMIX) $ 3.45
flow
Flow (FLOW) $ 0.765526
kucoin-shares
KuCoin (KCS) $ 11.41
first-digital-usd
First Digital USD (FDUSD) $ 1.00
the-sandbox
The Sandbox (SAND) $ 0.51259
theta-token
Theta Network (THETA) $ 1.05
terra-luna
Terra Luna Classic (LUNC) $ 0.000177
fantom
Fantom (FTM) $ 0.363428
ordinals
ORDI (ORDI) $ 46.47
bitcoin-sv
Bitcoin SV (BSV) $ 48.73
axie-infinity
Axie Infinity (AXS) $ 7.10
decentraland
Decentraland (MANA) $ 0.489172
gala
GALA (GALA) $ 0.030202
eos
EOS (EOS) $ 0.763737
beam-2
Beam (BEAM) $ 0.01798
neo
NEO (NEO) $ 11.78
mina-protocol
Mina Protocol (MINA) $ 0.811411
iota
IOTA (IOTA) $ 0.271216
whitebit
WhiteBIT Coin (WBT) $ 5.68
klay-token
Klaytn (KLAY) $ 0.240415
tezos
Tezos (XTZ) $ 0.87277
kava
Kava (KAVA) $ 0.765603
usdd
USDD (USDD) $ 0.992072
bonk
Bonk (BONK) $ 0.000012
bitget-token
Bitget Token (BGB) $ 0.489185
cheelee
Cheelee (CHEEL) $ 12.62
ecash
eCash (XEC) $ 0.000035
xdce-crowd-sale
XDC Network (XDC) $ 0.048403
frax-ether
Frax Ether (FRXETH) $ 2,201.93
helium
Helium (HNT) $ 4.54
frax-share
Frax Share (FXS) $ 8.69
frax
Frax (FRAX) $ 0.999928
sui
Sui (SUI) $ 0.62756
tokenize-xchange
Tokenize Xchange (TKX) $ 8.10
chiliz
Chiliz (CHZ) $ 0.082733
gatechain-token
Gate (GT) $ 4.63
pancakeswap-token
PancakeSwap (CAKE) $ 2.41
curve-dao-token
Curve DAO (CRV) $ 0.6627
conflux-token
Conflux (CFX) $ 0.174115
pyth-network
Pyth Network (PYTH) $ 0.411173
illuvium
Illuvium (ILV) $ 98.45
apecoin
ApeCoin (APE) $ 1.63
pepe
Pepe (PEPE) $ 0.000001