FCA President's Example of Kim Kardashian

FCA President's example of Kim Kardashian. The head of the FCA made a comment regarding the cryptocurrency ads.

After the US Securities and Exchange Commission (SEC) announcement last week warning small investors against cryptocurrencies, Charles Randell, now head of the UK Financial Conduct Authority (FCA), has issued similar warnings. Speaking at the Cambridge International Symposium on economic crimes, the chairman of the FCA drew attention to the importance of keeping the token issuers at a more tightly controlled level and the advertising campaigns on the websites.

Randell stated that a good financial regulation system will also support innovation and continued as follows:

"International cooperation and certain standards are necessary for an effective regulatory system. Without these, we will not be able to protect investors who are open to outside interference. We have issued warnings against speculative assets many times. These assets, tokens or cryptocurrencies are not regulated by us. This token There should be a system where those who issue's are often regulated."

Kim Kardashian Example

Referring to the promotion and advertising of cryptocurrencies on social media channels, Randell gave the example of the famous American Kim Kardashian. The FCA President made the following statements:

"This brings me to Kim Kardashian. Her 250 million Instagram followers telling them to enter the Ethereum Max Community and get this token, I think, may be the largest crowdfunded finance ad in history. When asked this question, she said it was an advertisement by Instagram rules. But she didn't say that Ethereum Max should not be confused with Ethereum. That token was just one of the hundreds of tokens that flood cryptocurrency exchanges. Of course, I can't say 'this token is a scam.' But social media celebrities, in particular, regularly get paid by scammers. Speculation There are 'pump and dump' movements based on this. I've seen some of them even advertise coins that never existed."

To be remembered, Binance, the world's largest exchange by volume, was also among the companies that were seriously investigated by the FCA. However, Binance Markets Limited was also able to get official permission from the institution. In the UK, where many cryptocurrency exchanges are closed, ByBit, one of the world's largest derivatives exchanges, had to close in March.