Google’s ban on cryptocurrency advertisements that came into effect earlier this month also include FinTech and experts calling it ill-thought and unethical. The ban first announced in March has already had a ripple effect with other popular social media outlets, Facebook and Twitter, instituting similar bans.
In its defense, Google says it instituted the ban as one of the ways of protecting users. However, some people have questioned the motive, given that the search giant continues to allow advertising on other unethical practices.
“Unfortunately, the fact that this ban is a blanket ban will mean that legitimate cryptocurrency businesses which provide valuable services to users will be unfairly caught in the crossfire,” said head of mobile at Revolut.
Crypto Ad Ban Impact
A move by Google to ban cryptocurrencies advertisements underlines the fact that such adverts do not account for a significant amount of its total advertisement revenue. The advertising giant is thus not expected to feel the pinch even on shutting down the emerging revenue stream.
A clear indication that the ban will have a minimal impact on Google’s advertising base has to do with the fact that a majority of traffic to cryptocurrency exchange is not because of aggressive marketing campaigns. For starters, a majority of traffic to such exchanges is because of credible link building as well as organic search. Paid search accounts for less than 1% of total traffic to crypto exchanges.
It remains to be seen how long the ban will stay in place, given that Google continues to allow advertising from gambling sites and other unethical practices. The search giant may be forced to lift the ban, if the cryptocurrency industry goes mainstream a development expected to result in new opportunities, especially on the advertising front, that would be hard to ignore.
The cryptocurrency ban, on the other hand, comes after Google released official papers stating its interest on virtual coins and blockchain technology. The white paper has already fueled talk that the tech giant might be preparing to launch its crypto coins.
Disclaimer: Nothing in this article should be construed as financial advice in any way, nor as an encouragement to engage in cryptocurrency trading activity. This article was not sponsored by any entities or companies mentioned in the article. The only purpose of this article is to inform/educate on the topics discussed in the article.
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