TikTok has decided to stop all forms of crypto advertising and other financial services on its platform. This means that crypto influencers won’t be permitted to promote crypto projects on TikTok anymore.
TikTok updated its Brand Content Policy on Friday, in which it is mentioned that several forms of financial services and products are now banned, such as crypto, trading platforms, pyramid schemes, “get rich quick” schemes, loans, credit cards, and others.
It has been revealed that most of the victims of “get rich quick” schemes that were presented on TikTok were younger people. The United Kingdom Financial Conduct Authority (FCA) also commented in regards to this problem.
TikTok declared that the decision was made in order to decrease the rate of scams related to crypto or other investments or schemes that were promoted on the network. Still, this ban will also harm legitimate financial-related companies that relied on the platform in order to promote their products.
The Chinese app saw a trend in promoting crypto following the Dogecoin hype of 2020. The price of DOGE increased by more than 100% just days after it began being promoted on TikTok.
Still, this isn’t the first time that a social media platform declared war on crypto, as Facebook and Google banned all adverts promoting crypto since 2018.