UK crackdown on social media ‘Finfluencers' and crypto

[Panamax]

The FCA has been ramping up its scrutiny of online, often illegal, financial promotions, recognising the significant increase in notoriety of ‘finfluencers’ and the potential for consumer harm taking place online. Their new guidance is available for consultation over the next eight weeks.

The Consumer Duty will raise the scrutiny of firms communicating financial promotions on social media above the current requirement to be ‘clear, fair and not misleading’. The Consumer Duty will require firms to act to deliver good outcomes for retail customers and this guidance will be used to supplement FCA expectations of communications on social media.
https://www.fca.org.uk/publication/guidance-consul...

This consultation follows the announcement of new advertising rules for crypto firms marketing to UK consumers. From 8 October the FCA is banning incentives to invest in crypto, such as ‘refer a friend’ bonuses. Firms must also introduce clear risk warnings and a 24-hour cooling period to give first-time investors the time to consider their investment decision. These measures are similar to the regime in place for other high-risk investments.

[Ari]

I'm a bit conflicted by this. On the one hand I'm against the government meddling in every area of people's lives and people coming to rely on it like a parent for permission and guidance. Whatever happened to basic common sense and self reliance?

On the other hand, you see so many examples of people being so easily lead, especially around crypto, that maybe it does need regulating.

[DonkeyApple]

Ari said:

I'm a bit conflicted by this. On the one hand I'm against the government meddling in every area of people's lives and people coming to rely on it like a parent for permission and guidance. Whatever happened to basic common sense and self reliance?

On the other hand, you see so many examples of people being so easily lead, especially around crypto, that maybe it does need regulating.

Imagine the situation where there is an idiot with £1000 in his bank account and he is desperate to throw it away. The direction in which the cool hurls his money has a value. Let it be thrown to one of the many Andrew Tate type things sitting overseas, farming tards or try and get the money hurled where it may benefit U.K. society?

You'll never stop muppets from believing some spanker online can make them a millionaire by lunchtime, all you can hope to do is limit their losses and and try to pocket as much as they do lose. And of course, the victims seem to always expect everyone else to give them some money which doesn't help anyone.

Arguably, they'd do better to teach scamming at schools while explaining when they do get scammed they'll get nothing from anyone.

[Random Account No6]

Ari said:

I'm a bit conflicted by this. On the one hand I'm against the government meddling in every area of people's lives and people coming to rely on it like a parent for permission and guidance. Whatever happened to basic common sense and self reliance?

On the other hand, you see so many examples of people being so easily lead, especially around crypto, that maybe it does need regulating.

Sadly there will always be people stupid enough (sometimes almost willing!) to be taken. Just think of the people who support Trump for reasons which have been shown to be false many times, or the loons who swear blind Covid was a WEF wheeze.

The aim here will likely be to ‘save’ the normies who are a bit naive.

[Armitage.Shanks]

I wonder if beard transplants and refrigerators are tax deductible business assets?

I think a lot have got wise to being chased by regulators and are now pushing building your own AI Agency where returns of £20k a month is easily achieved with very little outlay

[DonkeyApple]

Armitage.Shanks said:

I wonder if beard transplants and refrigerators are tax deductible business assets?

I think a lot have got wise to being chased by regulators and are now pushing building your own AI Agency where returns of £20k a month is easily achieved with very little outlay

True. I suspect that what they want to be able to do is target the offshore marketing firms that funnel people into the offshore branches of onshore brokers using very sizeable budgets.