The Indian Advertising Standards Council (ASCI) is cracking down on crypto influencers by posting misleading videos on social media. ASCI reportedly revealed that it received 453 complaints this year regarding cryptographic content and advertisements posted by influencers. Of the 453 complaints, the council added that 419 crypto-related content and advertisements need to be changed. ASCI CEO Manisha Kapoor has blamed Indian influencers for talking without understanding crypto.
“Some influencers talk about crypto with confidence, without a complete understanding of crypto. It gives the impression that it’s safe and okay.” Kapoor told The Economic Times.
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Kapoor said the council will continue to crack down on ads and influencers with risk-free disclaimers. She explained that the disclaimer and promotion-based content will be fully focused. Mr Kapoor revealed that the council has contacted the Indian exchange to raise her awareness of the issue.
“Some of these influencer ads don’t even talk about risk, but this is incorrect and violates the guidelines. Technically, these are ads without disclosure or disclaimer, Required. “
She elaborated that crypto advertising without a risk disclaimer would violate the guidelines. “This violates our guidelines and we will escalate to the government if we do.”
Why is ASCI focused on cryptography?
For beginners, ASCI is a self-regulatory body and its guidelines are not legally binding. However, the council does publish the names and data of those who violated their approach to government regulators. Regulators have the authority to propose laws to the government and impose penalties on offenders. ASCI works closely with regulators as the government is keen to apply the rules for crypto investment.
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Meanwhile, Indian investors believe ASCI is cracking down on crypto influencers. They also believe that regulators are afraid that influential people will influence Indians and invest in cryptocurrencies that the government and the Indian Reserve Bank (RBI) dislike.
Last month, the Securities and Exchange Commission of India (SEBI) proposed a ban on celebrity advertising cryptography. In addition, the proposal excludes movie stars, musicians, and athletes from promoting their products and services. SEBI also suggested that public figures should be held liable for violations when promoting cryptocurrency products.