Google, the internet search giant and web software titan, announced it would require government authorization to loan advertising services to Spanish financial firms. In the coming months, this measure will likely be expanded to include more countries.
Google will require government authorization for advertisers
Google, the web-search and software giant will begin to take measures against financial fraud by using its Spanish advertisement platform. Google announced it will start requiring customers that want to advertise financial products to have government authorization issued by the Spanish securities regulator (CMNV) or the Bank of Spain, the country’s central bank.
Google will demand that these companies complete the advertising verification program. It is scheduled to launch this month. These new requirements will begin to take effect in January 2023. Google stated the following:
We want to add a layer of fraud protection that will improve our network’s defense against financial fraud.
Furthermore, Google stated that this new policy will contribute to “guarantee a safe, healthy and sustainable advertising ecosystem.”
Prior Implementations and Expansion
Spain is among a number of countries who are piloting restrictions to allow them to access the advertising platform. In the U.K., this first restriction was implemented in 2021. It is believed to have had positive results. The Financial Conduct Authority requires that advertisers in the UK have their approval before they can publicize financial products. Google has stated this has produced “a very notable drop” in reports of ads that could be promoting financial scam projects.
Spain is the country where these restrictions will be implemented. The company plans to do the same in other countries over the next few months. The CNMV is active in monitoring cryptocurrency product advertisements. Any campaign targeting over 100,000 people must be notified at least 10 working days prior to launch.
Social media influencers who have more than 100,000 social media followers must inform regulators about their plans. They also need to explain the risks associated with the investment to their followers.
What do you think about Google’s new advertising requirements for financial products in Spain? Comment below.
Images CreditShutterstock.com, Pixabay. Wiki Commons. Benny Marty.
DisclaimerThis information is provided for educational purposes only. This is not an invitation to purchase or sell directly, nor a suggestion or endorsement of products, services or companies. Bitcoin.com is not a provider of investment, tax, legal or accounting advice. The author and the company are not responsible for any loss or damage caused by the content or use of any goods, services, or information mentioned in the article.