As concerns over deceptive practices in the crypto sphere continue to mount globally, regulatory bodies in key markets such as the United Kingdom and Spain have intensified efforts to curb misleading crypto advertisements, aiming to safeguard investors from potential losses.

The Securities and Exchange Commission (SEC) of Thailand has joined this regulatory push, issuing stern warnings to crypto exchanges operating within its jurisdiction against the use of misleading advertisements. The primary objective is to prevent investors from being enticed into the crypto ecosystem under false pretenses.

Deputy Secretary-General Anek Yooyuen emphasized the commission's vigilance in ensuring that crypto exchanges refrain from glamorizing investment opportunities and adhere strictly to prescribed advertising standards. The commission has expressed particular concern regarding the practice of offering special privileges to onboard new users, cautioning against such promotional tactics.

In accordance with Thailand's regulations, crypto advertisements found to contain false, exaggerated, distorted, concealed, or misleading information are deemed in violation of established standards and subject to regulatory action.

Similar measures have been implemented by regulatory authorities in other prominent crypto markets. For instance, the Financial Conduct Authority (FCA) in the United Kingdom issued a staggering 450 alerts for illegal crypto ads in 2023 alone. Likewise, Spain's National Stock Market Commission denounced fraudulent crypto asset promotions and reiterated companies' obligations to comply with local laws.

The SEC of Thailand has underscored the importance of including appropriate warnings about investment risks in crypto advertisements and cautioned against enticing new users through special promotions. Yooyuen emphasized that adherence to the SEC's advertisement guidelines is crucial for protecting investors from unwarranted risks associated with crypto investments. Violations of these guidelines will result in punitive measures in accordance with the law.

Furthermore, Thailand's advertising guidelines mandate that businesses and advertisers substantiate the factual accuracy of statements made in their marketing campaigns, failing which they risk violating local laws.

In a separate development, concerns over the lack of oversight in crypto advertising platforms have been raised following a recent incident where hackers hijacked advertisements on Etherscan, redirecting users to phishing sites designed to steal crypto assets. Blockchain investigation firm Scam Sniffer attributed the widespread phishing campaign to insufficient filtering by advertisement aggregators, highlighting the need for enhanced oversight measures to protect users from such malicious activities.