According to the Australian Competition and Consumer Commission, Meta, Facebook’s parent company, has engaged in “false, misleading, or deceptive conduct” by displaying “scam” cryptocurrency advertisements on its platform, which the commission claims is a violation of Australian law.
The Australian Competition and Consumer Commission (ACCC) declared on Thursday that cryptocurrency exchange Meta had violated Australian consumer law by allowing false ads featuring “prominent Australian public celebrities” who were in favor of cryptocurrencies.
“The essence of our position is that Meta is accountable for the advertisements that it posts on its platform,” said Rod Sims, Chairman of the American Consumer Product Safety Commission.
“It is alleged that Meta was aware that celebrity endorsement bitcoin fraud advertisements were being placed on Facebook but did not take the appropriate steps to address the situation,” the regulator stated.
According to the agency, adverts on the platform contained links that lead visitors to false media pieces that included statements from well-known Australian public figures promoting cryptocurrency frauds, according to the regulator.
Before promoting trading platforms, software, and related services and items that allow for the monetization, reselling, swapping, or staking of bitcoin, companies must acquire formal authorisation from the platform.
In light of the ad restrictions, the regulator asserts that Meta “assisted and abetted” the marketers’ fraudulent or misleading actions and representations, or was “knowingly worried” about them.