Starting August 3rd, Google will allow cryptocurrency wallets and exchanges to advertise with on the platform, as long as these are either registered with the Financial Crimes Enforcement Network (FinCEN) or a federal or state chartered bank entity.
This new policy from Google allowing DeFi advertising applies to all crypto companies, the Google browser search results as well as Google’s third-party sites, such as YouTube, Gmail, and Blogger.
Google is Going into Crypto
This revised Google policy will be implemented after three years of a ban on crypto-related advertisements, originally implemented since March 2018.
Yet, five months later, in September 2018, Google loosened the rules allowing regulated cryptocurrency exchanges such as Coinbase to advertise in the United States and Japan.
The new policy does allow cryptocurrency exchanges and wallets to advertise but still applies restrictions to ads for initial coin offerings (ICOs), decentralized finance (DeFi) trading protocols, or promotions of specific cryptocurrencies.
More Ways to Drive Revenue
If there were no crypto-advertisement restrictions on Google, it could push advertising sales higher. Until now Google generated $147 billion in revenue, representing more than 80% of Alphabet’s total revenue.
Coinbase’s direct listing in April and the record-breaking bitcoin rally, which saw the top crypto reach an all-time high price of $64,671.23, have sparked public interest in cryptocurrencies and crypto exchanges.
Crypto is Expanding
Traditional institutional companies such as Fidelity and JPMorgan JPM +0.1% have also begun to offer crypto investment services. The global search interest in bitcoin exchanges and wallets is below its peak in mid-May, but it is still high.
In time, we’ll know if this policy change leads to a further relaxation of restrictions on crypto advertising on other key sales platforms. In 2018, Facebook also banned all ads promoting cryptocurrencies, including bitcoin and initial coin offerings.
Shortly after, Facebook changed the policy and required applicants to submit licenses, stock exchange listings, and any other relevant public background information, if they wanted to promote certain bitcoin products or services.
The combination of Twitter, Facebook and Google restrict the promotion of initial coin offerings or crypto token sales, but do allow exchanges or wallet services crypto companies to advertise on them, provided that they follow regulations.
