Spain To Regulate Influencers Promoting Cryptocurrency Assets

Spain has released a new set of rules to regulate how social media influencers and others can advertise cryptocurrency assets starting from next month.

The Spanish National Securities Market Commission (CNMV) will require people and companies to notify it at least 10 days before running campaigns for crypto assets.

According to the report, the rules apply to influencers with more than 100,000 subscribers who are paid to promote cryptocurrency — a practice that’s drawn criticism and even lawsuits worldwide.

Crypto advertisers are required to release the content of their upcoming campaigns to the CNMV and they must include information warnings about the risks of what they are selling, according to Reuters.

The rules are designed to enable CNMV to monitor the marketing ecosystem around crypto assets and make sure audiences are aware of the risks of what they are buying.

The CNMV has previously used social media to discourage cryptocurrency. In November it replied to a tweet from professional soccer player Andrés Iniesta after he enthusiastically promoted the cryptocurrency exchange Binance, warning him that “crypto assets, being unregulated products, carry some significant risks.”