Starting from May 17th, the Financial Services and Markets Authority (FSMA) of Belgium will oversee the advertisement of cryptocurrencies.
In line with this development, the FSMA has also conducted a comprehensive survey amongst investors on their involvement with crypto assets.
This digital currency advertising oversight regulation will take effect on May 17th, 2023, and will require cryptocurrency companies to promote their products and services using clear and concise language without making promises of future returns.
Advertisements must include a warning that states: “Virtual currencies, real risks. The only guarantee in cryptocurrencies is risk,” and outline various risks associated with cryptocurrencies.
Additionally, before launching an advertising campaign targeting more than 25,000 people, companies must notify the FSMA at least ten days in advance.
According to a survey conducted by the FSMA and IPSOS, cryptocurrencies are most popular amongst young people between the ages of 16 and 29, with 34% of investors in this group actively trading in cryptocurrencies.
The survey also revealed that 30% of crypto traders are between 30 and 39 years of age, while only 11% of individuals aged 50 to 59 invest in digital assets.
To educate the younger generation about the risks associated with virtual currencies, the FSMA has introduced an educational module called Wikifin game, consisting of a series of video lessons.
The first draft of the module is currently being tested and is set to launch at the beginning of the next academic year. Recently, Johan Van Overtveldt, former Belgian Finance Minister, called for a complete ban on cryptocurrencies by EU authorities.