Google has lifted its five-year ban on cryptocurrency ads, allowing specific crypto-related offerings, particularly spot Bitcoin ETFs, to be advertised on its extensive network. This reversal in policy is a significant departure from Google’s stance in March 2018 when it, along with Facebook, prohibited cryptocurrency-related advertisements, mainly due to concerns about scams in the crypto sector.
In December, Google announced that it would permit U.S. advertisers to promote cryptocurrency coin trusts on its platform starting from January 29th. Google emphasizes the importance of adhering to local regulations, requiring all advertisements to comply with the legal requirements of their targeted regions. For instance, in South Africa, ads for crypto assets must include explicit warnings about potential fund losses.
This policy update holds great potential for recently launched Bitcoin ETFs, as it is expected to increase their visibility and awareness. Last week, Bitcoin ETFs experienced a net outflow of $500 million, the highest since their approval earlier this month.
BlackRock and VanEck have been among the first to take advantage of Google’s updated policy. It is likely that other companies will follow suit to enhance the visibility and awareness of their latest investment products.