Floki’s Response To ASA Recommendation
Disclaimer: The text below is a press release that was not written by Cryptonews.com.
On March 2, 2022, the Advertising Standards Authority (“ASA”) issued a ruling regarding an advertisement published by Floki on the London Underground. The advertisement contained the Floki logo, an image of a cartoon dog wearing a Viking helmet. The text on the advertisement stated “Missed Doge? Get Floki.” In addition, text at the bottom of the ad stated that “Your investment may go down as well as up in value. Crypto currency is not regulated in the UK.”
The ASA received a complaint regarding these advertisements and began an investigation into whether the advertisements violated the Committee of Advertising Practice (“CAP”) code. Prior to running the advertisements, Floki received approval from CAP that the advertisements were in compliance with their code.
In the ruling, the ASA concluded that Floki violated the CAP code. First, it concluded that the advertisements took advantage of consumers’ inexperience or credulity by not making clear that tax could be payable on profits from investing. Second, it concluded that the advertisement irresponsibly exploited consumer’s fear of missing out and trivialised investment in cryptocurrency by using the phrase “Missed Doge? Get Floki.” Floki emphatically disagrees with these conclusions.
It is important to note that ads from major cryptocurrency brands like Coinbase, Kraken, Luno, and eToro have been similarly banned as crypto companies try to create mainstream awareness about cryptocurrency while adhering to regulatory guidelines.
The action from the ASA is that Floki may not run the particular advertisements that was banned again in the form that they were run during the London Underground
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