Snap Inc. has banned advertising of so-called initial coin offerings (ICOs) in the Snapchat app, a company spokesperson told Cheddar on Monday.
The move makes Snapchat the latest social media platform to ban ads for cryptocurrency ICOs, an increasingly popular form of raising money by issuing virtual tokens instead of more traditional company shares.
Facebook banned all cryptocurrency ads, including ICO ads, in January — although it still allows educational ads related to the crypto market. Google announced that it would ban all crypto ads last week, and Twitter is reportedly planning to announce a similar ban in the coming weeks.
In contrast to Facebook and Google, Snap’s current ban for ICOs has been in effect since early February and does not apply to other kinds of cryptocurrency ads, according to a Snap spokesperson. The spokesperson declined to comment on whether Snap would ban all crypto-related ads in the future.
Companies raised billions of dollars through ICOs in 2017. But the proliferation of the system as a way to quickly raise capital has led the SEC to [reportedly conduct] (https://www.wsj.com/articles/sec-launches-cryptocurrency-probe-1519856266) a sweeping probe into the practice. A [recent survey] (http://www.nasaa.org/44336/rise-fintech-raises-new-concerns-securities-regulators/) by the North American Securities Administrators Association found that millennials were the most at risk of becoming victims of fraud from financial tech-related products.
Snap is facing pressure from investors to continue growing its advertising business amid mounting competition from Facebook-owned Instagram. But the growth has not come without setbacks. The company came come under fire recently for approving an ad that asked whether viewers would rather "Slap Rihanna" or "Punch Chris Brown." A statement by Rihanna criticizing the company [later sent] (http://money.cnn.com/2018/03/16/technology/snapchat-stock-rihanna/index.html) Snap’s market value plunging roughly $800 million.
*Reporting by Alex Heath.*
Dave Long, CEO and Co-Founder of Orangetheory Fitness joins Cheddar to chat trends in the industry for 2024. He updates us on the company's plans to expand and what the state of the economy has meant for business.
One of the world's largest renewable energy developers will be getting hundreds of wind turbines from General Electric spinoff GE Vernova as part of a record equipment order and long-term service deal.
A moon landing attempt by a private US company appears doomed because of a fuel leak on the newly launched spacecraft. Astrobotic Technology managed to orient the lander toward the sun Monday so its solar panel could capture sunlight and charge its onboard battery.
Treasury Secretary Janet Yellen has announced that 100,000 businesses have signed up for a new database that collects ownership information intended to help unmask shell company owners. Yellen says the database will send the message that “the United States is not a haven for dirty money.”
A new version of the federal student aid application known as the FAFSA is available for the 2024-2025 school year, but only on a limited basis as the U.S. Department of Education works on a redesign meant to make it easier to apply.
A steep budget deficit caused by plummeting tax revenues and escalating school voucher costs will be in focus Monday as Democratic Gov. Katie Hobbs and the Republican-controlled Arizona Legislature return for a new session at the state Capitol.
The first U.S. lunar lander in more than 50 years is on its way to the moon. The private lander from Astrobotic Technology blasted off Monday from Cape Canaveral, Florida, catching a ride on United Launch Alliance's brand new rocket Vulcan.
Global prices for food commodities like grain and vegetable oil fell last year from record highs in 2022, when Russia’s war in Ukraine, drought and other factors helped worsen hunger worldwide, the U.N. Food and Agriculture Organization said Friday.
Wall Street is drifting higher after reports showed the job market remains solid, but key parts of the economy still don’t look like they’re overheating.
