• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Australian Regulator Accuses Facebook of Fraudulent Crypto Ads

user avatar

by Giorgi Kostiuk

a year ago


  1. Meta’s Legal Battle Continues
  2. The Serious Scale of Fraud
  3. Meta’s Responsibility

  4. Australia’s competition authority claimed that 58% of crypto ads on Facebook are scams or violate Meta’s ad policies, causing a significant stir. This serious accusation emerged from preliminary investigations by the Australian Competition and Consumer Commission (ACCC).

    Meta’s Legal Battle Continues

    In 2022, the ACCC sued Meta, Facebook’s parent company, for allegedly aiding and hosting crypto scam ads using celebrities’ names. Although no trial date has been set, the Commission recently claimed that 58% of the reviewed ads violated Meta’s Ad Policies or were fraudulent. These ads are known to exploit the reputations of famous Australians to promote crypto investment scams. Victims include businessman Dick Smith, billionaire former casino executive James Packer, Hollywood stars Chris Hemsworth, Mel Gibson, Nicole Kidman, Russell Crowe, and former politician Mike Baird.

    The Serious Scale of Fraud

    While exact losses from these scams are not provided, Australia’s Scamwatch site shows investment scams are the most effective method for Australians to lose money. As of 2024, 3,456 complaints about investment scams have been recorded, with losses exceeding $78 million. The ACCC identified 600 ads during the investigation but is currently focusing on only 234. Other celebrity scams may also emerge during this process. In December 2023, Australian billionaire miner Andrew Forrest sued Meta for using his image in deep fake crypto scam ads. Although initially dismissed, a US judge allowed the case to proceed in June.

    Meta’s Responsibility

    The regulatory body claims that “since at least January 2018, Meta has been aware that a significant portion of crypto ads on the Facebook Platform used misleading or deceptive promotional practices.” Despite advertisers’ obligation to comply with Meta’s Ad Policies, such ads continued, and Meta might have technology to flag suspicious ads. Meta states that it invests in “products and support systems” to keep scammers off the platform and removes fake accounts. In the last quarter of 2023, Facebook intervened with 691 million fake accounts, down from 827 million in the previous quarter and 2.2 billion fake profiles in 2019.

    Australia’s ACCC claims 58% of Facebook crypto ads are scams or policy violations. Meta faces a lawsuit for allegedly aiding crypto scams using celebrities’ names. Investment scams have caused Australians to lose over $78 million as of 2024.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

Other news

Yapı Kredi Bank Introduces Cryptocurrency Trading Services in Turkey

chest

Yapı Kredi Bank officially announces the launch of a cryptocurrency trading platform, marking a significant development for Turkey's financial landscape.

user avatarGiorgi Kostiuk

Bitcoin Solaris Launches Nova App; BlockDAG’s X1 Miner Surpasses 2 Million Users

chest

Bitcoin Solaris launches Nova app, while BlockDAG's X1 miner has attracted 2 million users.

user avatarGiorgi Kostiuk

Bitcoin Hits Record High: New Peak at $113,700 Driven by Institutional Investments

chest

Bitcoin reached a new high of $113,700 due to institutional inflows and political factors.

user avatarGiorgi Kostiuk

Impact of US Dollar on Global Financial System in Q1 2023

chest

Exploring the factors affecting US Dollar reserves in Q1 2023 and their significance for the global economy.

user avatarGiorgi Kostiuk

Prospects of Solana and Success of Mutuum Finance in DeFi

chest

Solana is gaining momentum, approaching the $180 mark, while Mutuum Finance is successfully conducting its presale.

user avatarGiorgi Kostiuk

ChainCatcher Hosts Discussion on AI and Cryptocurrency Trends

chest

The ChainCatcher event focused on the synergy between AI and cryptocurrency, market impacts, and future trends.

user avatarGiorgi Kostiuk
dapp expert logo
© 2020-2025. DappExpert. All rights reserved.
© 2020-2025. DappExpert. All rights reserved.

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.