UK Regulator Bans Coinbase Ads Over Cost-of-Living Messaging

Britain’s advertising watchdog has banned a controversial marketing campaign by crypto exchange Coinbase, after ruling that the adverts irresponsibly implied digital assets could solve widespread financial hardship.

The Advertising Standards Authority announced the decision in a statement on Wednesday, upholding complaints against four advertisements that aired in August 2024, one video-on-demand spot, and three posters, finding they “trivialised the risks associated with cryptocurrency investment” by positioning Coinbase as an alternative to struggling traditional financial systems.

The satirical video ad featured working adults cheerfully singing about everyday economic struggles, unaffordable housing, rising living costs, and job losses, while dancing through scenes of urban decay, bursting sewage pipes, and closed shops littered with rats.

The campaign’s tagline, “IF EVERYTHING’S FINE DON’T CHANGE ANYTHING,” appeared alongside the Coinbase logo, while companion posters highlighted “HOME OWNERSHIP OUT OF REACH,” “EGGS NOW OUT OF BUDGET,” and “REAL WAGES STUCK IN 2008.”

The ASA ordered the ads must not appear again in their current form and instructed Coinbase to ensure future advertisements do not irresponsibly trivialize crypto risks or imply digital assets are a solution to prevalent financial concerns.

Thirty-five complainants challenged the campaign’s messaging during a period of acute financial pressure for British households, according to the ASA statement.

A spokesperson for Coinbase told Decrypt that, “While we respect the ASA’s decision, we fundamentally disagree with the characterisation of a campaign that critically reflects widely reported economic conditions as socially irresponsible,” adding that the intent of the advert was to “provoke discussion about the state of the financial system and the need to consider better futures, not to offer simplistic solutions or minimise risk.”

Coinbase’s defense rejected

CB Payments Ltd, a subsidiary of Coinbase, defended the campaign in its response to the ASA, saying the ads were “purposely and obviously exaggerated for entertainment purposes” and contained no explicit calls to action, as per the statement.

The company, registered with the Financial Conduct Authority, maintained that consumers would interpret the content as satire rather than financial advice and referenced FCA research showing that consumer awareness and ownership of crypto had increased.

The regulator warned that the ads’ broad reach meant many consumers experiencing financial difficulties “would be vulnerable to the implication that Coinbase and cryptocurrency could address their financial concerns.”

The ban adds to Coinbase’s record of attention-grabbing, and sometimes controversial, marketing, including its February 2022 Super Bowl QR-code ad that crashed servers after driving 20 million visits in a minute, won a Super Clio award, and drew security criticism over QR-code risks.

Industry reaction

“I think the ad is essentially satire about the UK economy,” Ruchir Gupta, co-founder of Gyld Finance, told Decrypt. “It feels like a stretch to interpret it as pushing financially vulnerable people into crypto, though I understand why regulators want to take a cautious view.”

Nicolai Søndergaard, Research Analyst at Nansen, told Decrypt that he doesn’t think that the UK regulator’s will “greatly shape how laws and standards will change globally when it comes to ads and, in this case, crypto ads.”

“Ethics are always up to debate and change over time,” Søndergaard said, noting that the ad could be seen as provocative and that the UK remains a relatively tough market for crypto.

The ASA ruling compounds Coinbase’s regulatory challenges in the UK, as in 2024, the FCA fined CB Payments Limited $4.5 million (£3.5 million) for allowing “high-risk customers” to buy crypto, breaching a regulatory agreement to improve defenses against financial crime.

This article has been updated to reflect comments from Coinbase.