After the implosion of the crypto exchange FTX, the industry is increasingly being targeted by the authorities: the US Trade and Consumer Protection Agency (FTC) has launched an investigation into several crypto companies for potentially misleading advertisements.
“We are investigating several companies for possible misconduct in digital assets,” an FTC spokeswoman told Bloomberg. She initially did not want to reveal details – the investigations are still confidential.
The call for regulation is getting louder
Following the bankruptcy of the FTX group – which operated one of the largest trading platforms for digital currencies such as Bitcoin – calls for tighter regulation of the market have become louder.
During the crypto boom, FTX and other companies had spent a lot of money on advertising, including using celebrities as ambassadors. The US Securities and Exchange Commission has repeatedly warned that investors should not rely on investment tips from influencers.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
