Senate Banking President Sherrod Brown criticized crypto ads that were aired during the Super Bowl. He added that the ads do not address the risks associated with investing in cryptocurrencies, such as volatility and fraud.
The head of the United States Congressional Banking Committee, Sherrod Brown, lambasted the many crypto ads that were played during the recent Super Bowl to over 110 million viewers. The president of Senate Banking said that he did not address the risks involved in investing in cryptocurrencies, adding that he has “omitted a few things.”
crypto advertising under fire
Senator Brown made the remarks at a hearing on February 15 and called on crypto companies not to speak about market volatility as well as the potential for fraud and theft. He has spoken about these concerns before and is not the only US lawmaker to feel this way.
Several crypto ads aired in the Super Bowl, including on Coinbase and FTX. Millions of dollars were spent for the brief stretches of airtime, and it was successful enough that Coinbase had to stop traffic on the platform. The exchange’s ad contained a QR code that led people to the platform, telling them that new users would receive $15 in BTC after registering.
Crypto advertising has proved to be a matter of controversy for countries around the world. The Advertising Authority of Ireland was the latest to join the crowd, investing in crypto ads after receiving several complaints. As crypto becomes more popular than ever, more such comments and investigations are likely.
US lawmakers face many regulatory tasks
The US Senate is reviewing several aspects of the cryptocurrency market, especially stablecoins. In December 2021, the Senate Banking Committee asked for additional information about stablecoins until Democratic senators asked Meta to shut down its Diem project.
Meta complied with that order and cited regulatory issues as one of the main reasons for selling Diem. Stablecoins are considered a threat to national currencies.
Crypto executives have said that there will be consequences for heavy-handed regulation, demanding tailored regulation that will help the economy. Many in the market, including former OCC chief Brian Brooks, believe the US is lagging behind in terms of crypto.