- Google to allow ads for Cryptocurrency Coin Trusts and Bitcoin ETFs in the U.S. starting January 29, 2024.
- The policy update requires advertisers to obtain appropriate licenses and comply with local legal requirements.
- Fidelity Investments continues discussions with the SEC regarding its application for a spot Bitcoin ETF.
Tech behemoth Google has made a significant update to its cryptocurrency advertising policy, scheduled to take effect on January 29, 2024. This update will enable advertisements for Cryptocurrency Coin Trusts, including Bitcoin ETFs, to target audiences in the United States. This policy change is particularly noteworthy as it aligns with the expected approval of spot Bitcoin exchange-traded funds (ETFs) in the U.S., a development that has been keenly anticipated by the cryptocurrency community.
Under the new policy, Cryptocurrency Coin Trusts are defined as financial products. These trusts enable investors to trade shares in entities that hold large pools of digital currency. This definition could encompass Exchange Traded Funds (ETFs), broadening the scope of financial products covered under Google’s updated advertising guidelines.
To be eligible for advertising under the new policy, cryptocurrency trust advertisers must be certified by Google. This certification process mandates that advertisers obtain the appropriate license from the relevant local authority. Additionally, it is essential for their products, landing pages, and ads to comply with all local legal requirements specific to the country or region for which they seek certification.
Further, advertisers who violate the Cryptocurrency Coin Trust advertising policy will not face immediate account suspension. Instead, they will receive a warning at least 7 days before any potential suspension, allowing them time to rectify any issues and ensure compliance with Google’s policies.
Google’s policy update is expected to have global applicability, applying to all accounts that advertise these products, regardless of their geographical location. Google’s decision to update its policy reflects a shift from its previous stance in March 2018, when it implemented a comprehensive ban on all crypto-linked ads across its platforms, citing consumer harm and potential risks.
Meanwhile, the U.S. Securities and Exchange Commission (SEC) has been actively engaging with various entities regarding spot Bitcoin ETFs. Fidelity Investments, a major player in the asset management sector, has been in discussions with the SEC about its spot Bitcoin ETF application. The SEC recently met with Fidelity to gain additional clarity on its application for the Wise Origin Bitcoin Trust.
The discussion focused on the operational framework of the Bitcoin ETF, emphasizing the importance of physical creation and redemption for efficient trading and market pricing. Despite a rejection of Fidelity’s application for a spot Bitcoin ETF in 2022, the firm has continued its efforts, indicating the financial industry’s growing interest in such products.
