Spain on Monday began regulating rampant advertising of crypto assets, including by social media influencers, tasking the stock market regulator to authorize mass campaigns and ensure investors are aware of the risks.
The rapid growth of cryptocurrencies and digital assets pegged to traditional currencies has drawn the attention of regulators around the world, who fear they could put the financial system at risk if left unchecked.
Advertisers and companies marketing crypto assets must notify CNMV regulators at least 10 days in advance of the content of campaigns targeting more than 100,000 people, the Spanish government said in its official announcement.
The new regulations, which will begin in mid-February, allow the CNMV to specifically monitor the advertising of all types of cryptoassets and include warnings about the risks involved in such investments.
These rules also apply to cryptoasset service providers advertising their activities, as well as anyone advertising themselves or on behalf of third parties.
This includes influencers with more than 100,000 subscribers who pay to promote and promote crypto assets, the CNMV said in a statement, adding that they must notify regulators in advance of promotional posts and warn of the risks.
Complete News Source : Gadgets360
