How does crypto advertising work in 2021?
In 2018, the advertising industry was disrupted completely. It has been proven that 78% of ICOs promoted in 2017 were, in fact, scams, resulting in increased economic consequences for investors.
Because of the financial loss, the giant social advertising platforms have prohibited any forms of cryptocurrency advertising, including the sale of tokens and everything related to crypto projects.
However, the situation is changing and improving. In 2021, it seems that everything took a positive turn for the crypto advertising world. The crypto-related constraints have been loosened, and the advertisers can promote themselves once again if they adhere to all of the conditions and regulations that social media giants require.
Besides that, they have to ensure that the promoted crypto projects are legitimate, avoiding the same issues that happened previously in 2017-2018.
The good news is that the big tech businesses have examined the potential of crypto and brought more balanced advertising, even for the ICOs and DeFi projects.
What do crypto ads refer to?
When discussing advertising in this area, the emphasis goes on improving branding, website design, and digital platform design. And as everyone is aware, social media and content marketing are essential components for crypto projects.
But generally speaking, people think of display advertising when they hear the words “crypto advertising.” Yet, crypto advertising includes all process components, from writing to design.
In the crypto space, every product that benefits its consumers should be advertised. And taking your marketing on an ads platform makes it easier to reach the targeted audience.
Every detail of a crypto project has greater worth if it’s marketed correctly. When brought to the public’s attention, your product’s benefits can grow the business and make more profit.
In other words, without advertising, people would not know what services and products they can enjoy, which is an essential component that will increase the importance of a company.
Why were they banned?
However, this niche has had its ups and downs and has not been particularly profitable in recent years. Everything started with a significant spike in 2017.
The bull market showed all the characteristics of a conventional financial bubble, with the investors buying out due to the fear of missing out.
As a result, scammers saw this bubble as an opportunity and started promoting a large number of fake ICOs or cryptocurrency projects based on rug pulls. And thanks to social media communication, they were successful in doing so.
As a consequence, the investors started losing a lot of money, discovering that many of the attractive projects were scams.
As a response, social media platforms have halted and banned all cryptocurrency marketing. In March 2018, Google, Facebook, and Twitter all outlawed any form of crypto promotion.
But as time has passed, things appear to be improving as social media giants have begun to take small steps to advertise crypto.
Crypto ads evolution in 2021
The most important event regarding crypto advertising in 2021 is that Google started allowing cryptocurrency promotion to US citizens. However, many projects are left out as the advertisers have to be registered with FinCEN as a Money Services Business and with at least one state as a money transmitter; or a federal or state-chartered bank entity.
ICOs, DeFi protocols, and many other businesses are still unable to use mainstream advertising networks.
So, as more and more crypto ad networks appeared, the cryptocurrency market started balancing itself when it came to promoting without the help of the advertising giants.
Various platforms and companies have come into existence, and they have offered a way to please everyone’s needs, even revitalizing the ICO marketing.
Many crypto projects have seen a boost in their growth and profitability in 2021. With the bull run that comes with it, crypto seems to have greater importance. Some of the ad networks projects have started generating over one billion impressions each month.
Overall, as more and more things become digitalized, the crypto area has grown important in people’s lives. As a result, marketing platforms started to promote the most trustworthy projects, as everyone relies on legitimacy.