Facebook bans users from posting Bitcoin-related ads as it tackles fraud risks on its platform

Facebook has banned ads promoting cryptocurrencies and ICOs on its social network, saying they are "often associated with misleading or deceptive advertising". The company said in a blog post on Tuesday (January 31): "Facebook will work to understand which ads are deceptive or misleading and gradually promote this policy." Facebook, including its other platforms, including Instagram, do not allow ads such as "Use your retirement fund to buy Bitcoin!"

"We want Facebook ads to help people discover and learn about our newest products and services without the risk of fraud or deception," Facebook said. In many cases, companies and individuals raise funds through ICOs in a highly unregulated and unsafe way. Regulators have recently begun to crack down on this. This week, the U.S. Securities and Exchange Commission said it obtained a court order freezing an ICO transaction by AriseBank, the world's first cryptocurrency bank.

Still, that has caused irritation among many millionaires who have become enthusiastic about Bitcoin and other volatile digital currencies. Many public companies, from packaged food producers to sports bra makers, have seen their stock prices soar after being linked to cryptocurrencies, sometimes just by name.

Earlier this month, Facebook CEO Mark Zuckerberg began researching cryptocurrencies and other technologies in an effort to correct problems on his social network. Some enthusiasts saw this as a positive sign for cryptocurrencies, but Zuckerberg said he was looking into both the positive and negative aspects of the technology.

The price of Bitcoin has experienced huge fluctuations and is extremely volatile. In 2017, the price of Bitcoin soared by more than 1,700 percent to almost $20,000, but has now returned to around $10,000.