Belgium planning new Crypto advertisement framework

Belgian government agency FSMA will regulate the crypto companies over their promotional activities, to ensure the safety of the investors.

Over the few years, crypto adoption surging in almost every sector, whether it is tech, Pharma, or finance industry. In the race for crypto adoption, many crypto companies use unethical ways to promote their services. Between 2021 to 2022, the world saw the promotion of crypto services & crypto tokens at many public places, which were against the common advertisement guidelines. 

As per the latest decision taken by the Belgian government, the Belgian Financial Services and Markets Authority (FSMA) will have new power to regulate crypto companies. 

The FSMA agency will impose special rules & restrictions on the crypto companies over their promotional activities. 

All the Crypto companies will be required to submit the details about their service advertisement plans 10 days before with the FSMA agency, in case if advertisement campaigning will target more than 25,000 audiences. 

The FSMA will ensure that crypto companies not promising to give a particular amount of return on investment or holding and also crypto companies will be required to mention all the major risks associated with their service in proper & clear language.

The new crypto advertisement regulation rules will come into effect by 17 May 2023.

Along with crypto advertisement regulation, the FSMA agency will also conduct educational programs about crypto investment, to spread light on the risks associated with cryptocurrencies.

Belgium started to focus on the safety of the country’s crypto Investors from May 2022. Belgium started to regulate crypto companies. It is worth noting that, Belgium is an EU country and this country will get better crypto regulation support from the EU’s Markets in Crypto Assets (MiCA). 

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