Facebook Sued Yet Again For Deceptive Crypto Ads

Facebook Sued Yet Again For Deceptive Crypto Ads

John De Mol, a Dutch billionaire and media tycoon, has sued the social media giant, Facebook, for allowing cryptocurrency advertisements which feature his face without his permission. According to the suit, consumers who bought into the ad, believing that it was backed by De Mol, have lost over €1.7 million. His reputation has also suffered greatly as a result.

This is the latest in a series of fake and deceptive crypto-related ads appearing on the social media giant which used popular celebrities and politicians without permission. Facebook has been sued by the victims on several occasions, and whilst steps have been taken to tackle the problem, it clearly continues to persist.

John De Mol is a well-known media mogul who is associated with several top TV shows, including Deal or No Deal, The Voice, and Big Brother. He came across his personal image being used in deceptive ads towards the end of 2018. At the time, De Mol was quick to issue a public statement declaring these ads as fraudulent and illegal. 

Another Crypto Scam

In the advertisements which De Mol is suing Facebook over, victims were tricked to send money and buy into a business called Bitcoin Profit. This company was, supposedly, backed by De Mol, which encouraged many users to transfer and eventually lose their money. 

Such deceitful advertising is a reality which many newcomers to the crypto industry can easily fall victim to. Facebook and De Mol’s legal team have alerted crypto users to only trust reputable crypto service providers.

This is particularly important when selecting a cryptocurrency exchange. Whilst some are highly secure, reputable, and trustworthy, such as Binance and Coinbase, others like Coinroom suddenly disappear without a trace, leaving users coinless.

Such deceitful advertising is a reality which many newcomers to the crypto industry can easily fall victim to. Facebook and De Mol’s legal team have alerted crypto users to only trust reputable crypto service providers. This is particularly important when selecting a cryptocurrency exchange. Whilst some are highly secure, reputable, and trustworthy, such as Binance and Coinbase, others like Coinroom suddenly disappear without a trace, leaving users coinless.

Facebook’s Efforts

Whilst it is estimated that the losses caused by this fraudulent advertisement cost victims around €1.7 million, Fraudedesk, a website alerting users of scams and other dangers, has said that the figure could be as much as 10 times as high. Many victims are often reluctant to report such losses, especially since recovering such funds is next to impossible.

According to a lawyer in the tycoon’s legal team, Facebook is especially responsible for these losses. The lawyer claims that the social media giant’s vetting and selection process is clearly not up to the task.

In January 2018, Facebook blocked all types of cryptocurrency-related ads on its site, the tech giant to do so. By June 2018 this ban was relaxed to allow ads coming from approved providers. Ads on certain topics, such as ICOs, remained blocked.

The company’s Dutch lawyer, Jens van den Brink replied that the company could not be expected or forced to monitor every single ad on its platform at all times. Doing this would require an unrealistic amount of resources and human oversight. Van den Brink has confirmed, however, that the company is investing in AI to improve the situation and that the ads reported by John De Mol’s legal team were removed.

Ready to join our tribe?

We respect your email privacy

Subscribe now to recieve exclusive updates and offers!

Recently Similar News

Latest Guides

Latest News

Bitcoin,CoinMarketCap,Ethereum

Cryptocurrency Market Cap Jumps Past $2 Trillion

Cryptocurrencies continue to make headline news around the world as the total market cap surpassed $2 trillion on Monday. Supported by increased interest from institutional investors, celebrities, and retail investors, digital coins are now worth more than Apple Inc. Bitcoin has, once again, played a major role in the sector’s market cap. The world’s first […]

6 April, 2021
Digital Currency,Ethereum,Stablecoin

VISA Set To Support Cryptocurrency Settlements

The global payments corporation, VISA, announced on Monday that it is making preparations to allow USD Coin (USDC) to settle transactions within its network. This move is being viewed by industry analysts as yet another clear sign that cryptocurrencies are being accepted by major institutions within the traditional financial industry. USDC was selected by VISA […]

30 March, 2021
Casino,Ethereum,Gambling

CasinoFair Temporarily Shuts Down Amid Network Congestion

The popular cryptocurrency casino, CasinoFair, has announced in a recent blog post that it will be temporarily stopping its gaming services. Citing unsustainable congestion on the Ethereum network as the main reason for this pause, the casino reassured its players that it is “actively researching solutions and hope to be back with a new range […]

26 March, 2021
Bitcoin,Coinbase,CoinMarketCap

Significant Bitcoin Drops As Coinbase Announces IPO

The cryptocurrency market is back in turmoil following yet another volatile week where Bitcoin almost reached a record-breaking value of $60,000. Bitcoin drops are nothing new, but the recent 25% decrease has caused panic amongst even traders with an experience of major currency fluctuations. The latest drop comes as Coinbase, one of the world’s largest […]

1 March, 2021
Cybercrime,Scam,Trezor

Trezor Warns Users About Fake Mobile App

Trezor is warning users of a malicious mobile application featured on Google Play which appears to be associated with the wallet provider. At least 1,000 users have already downloaded this software, and it is likely that some have unwittingly provided their seed phrase to unlock their funds. Both Trezor and SatoshiLabs have confirmed the existence […]

26 January, 2021
Bitcoin,eToro,Trading

eToro Temporarily Raises Minimum Deposit To $1,000

For the past few weeks, the increase in Bitcoin’s price has led to a massive interest in cryptocurrency trading. eToro has been overwhelmed by new registrations and has decided to temporarily raise the minimum deposit from $200 to $1,000. Although 2021 has barely gotten started, it promises to be an exciting time to invest in […]

11 January, 2021
Bitcoin,Investment,Trading

Global Cryptocurrency Market Value Surpasses $1 Trillion

Thursday has proven to be a monumental day for cryptocurrencies as the world’s combined value tops the $1 Trillion mark. Energised by a substantial rise in the value of Bitcoin in recent months, the volatile crypto market has reached a once-unreachable value. Following the latest Bitcoin Halving in May 2020, the world’s largest digital token […]

10 January, 2021
Sponsored

Victory over virus: SiGMA Virtual Expo hosts 100+ exhibitors

SiGMA Europe and AIBC Virtual Expos launch with record breaking attendance, providing a cure to the industry’s events sector In the light of this year’s changes in our everyday lives, SiGMA was close to having to stop doing what it does best; creating networks for people through the company’s iconic physical events, but luckily, the […]

26 November, 2020