In recent times, celebrities have been involved in promoting crypto platforms globally, driving attention to them.
Spain recently announced its plans to place restrictions on influencers promoting cryptocurrencies. This is the first country in the European Union to restrict its popular citizens from advertising crypto-related platforms.
National Securities Market Commission (CNMV), Spain’s markets regulator, has been granted the authority to monitor crypto ads in the country.
From February, according to Financial Times, influencers and their sponsors have to request permission before they can promote any crypto-related activities. If granted permission, they also have to state the risks of the platform. Anyone that contravenes the guidelines may be punished with fines.
The head of CNMV, Rodrigo Buenaventura, stated that influencers were been used as “a backdoor to avoid regulation,” because they do not face regular rules compared to the traditional media.
A reason this new guideline was incorporated by CNMV has been linked to the promotion of Binance done by Andrés Iniesta. Last November, the World Cup-winning soccer star promoted the crypto exchange to his millions of followers on Twitter.
In the tweet, the football stated that he was “learning how to get started with crypto with @binance #BinanceForAll.” The tweet was written in two different languages to cater to his different followers.
The CNMV quickly replied under his tweet stating that “cryptoassets, being unregulated products, carry some significant risks.”
The regulatory body also stated that Iniesta should learn more about crypto and school his followers on the risks attached to it.
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