The crypto industry is one that has been booming for quite some time now. While some have got into the investing side of things, others have decided to focus on crypto affiliate marketing in order to make a passive income.
Crypto marketing for affiliates can be very effective but it also comes with some problems. More recently, the UK’s advertising watchdog has stated that it will be clamping down on misleading marketing materials. So, here’s why you must take care when creating marketing campaigns as a crypto affiliate.
Crackdown on misleading crypto marketing
According to recent reports in the Financial Times, the Advertising Standards Authority has begun a major effort to remove any misleading crypto marketing content. This effort is mainly focused on social media posts due to the large increase in people promoting crypto apps.
Director of Complaints and Investigations at ASA, Miles Lockwood, noted that crypto is on ‘red alert’ in terms of priority for the ASA. Interestingly, crypto advertisements are outside of the scope for rules set up by the Financial Conduct Authority and so the ASA is taking the lead.
This isn’t the first time we’ve seen the ASA clamp down on crypto marketing either, as they previously criticised crypto app Luno for an ad campaign on London public transport for misleading content. Interestingly, the team at Luno believed that the ads were fine to push ahead with but this wasn’t how the ASA felt.
Who will they crack down on?
It is clear that the ASA will be focusing on the companies offering crypto services when it comes to their advertising materials. However, it has also been noted that they will be watching influencers and affiliates who have become heavily involved in this industry over recent years.
Influencers can easily sway consumers into purchasing something – hence the name – and so need to be carefully monitored. As many influencers are also affiliates, those hoping to make a living from promoting crypto on their portal must take note.
There has already been a call to action from influential people in the financial industry such as Myron Jobson from Interactive Investor. Jobson noted that the regulation on crypto-assets is in “desperate need of modernising”. With this in mind, the ASA and FCA might start to look more carefully at how this industry is regulated.
How to avoid criticism from the ASA
If you are involved in crypto marketing through an affiliate program, you must ensure that you are staying on top of any new regulations. By breaking the rules, you face serious action from the ASA and this could reflect poorly on your relationship with the crypto brand. Here are some of the ways that you can avoid any major issues.
Choose the right affiliate program
If you are just getting started with crypto affiliate marketing, you’ll probably need to choose a program to team up with. There are tons of excellent affiliate programs for the crypto industry but not all are created equally. Start by looking into the company itself and the product that they are offering. Is it legit? Does it have any reviews? You can’t promote something that isn’t meeting the regulations set out by the relevant parties so this is your due diligence.
You’ll also want to make sure that you are getting a good deal. Is the rev share worth your time? Finding the right program isn’t always something you can do overnight.
Stay on top of new regulations
Crypto is a hot topic right now and so you’ll find news about it everywhere. For those who are involved in crypto marketing and affiliate marketing in general, the information is out there. We’ve touched on setting time aside to learn more about your industry before – but this is vitally important when it comes to financial regulation.
Read the news, check the regulations and stay on top of any changes. If you find yourself doubting marketing materials before you post them – avoid it and start fresh. Sure, you can get advice from your affiliate manager but always use your instincts to avoid criticism.
Check your competitors
Finally, as a crypto affiliate marketer, you should always be staying on top of your competitors. How are they marketing their products? Are they experiencing more growth than you? It could be the case that your advertising is too ambiguous or you just aren’t hitting the mark creatively. A little market research can go a long way when it comes to driving traffic and meeting your goals.
Spend some time checking up on your competitors and other affiliates within your program. Ask for more training from your affiliate manager and they could help you out. You aren’t in this alone, you can market your crypto business without breaking the rules.
The Advertising Standards Authority might be clamping down on misleading crypto marketing materials but that doesn’t mean that you can’t still promote your products as an affiliate. As long as you are aware of the rules and don’t mislead your customers, you can drive traffic and impress your program manager.
Read up on the latest regulations and any sanctions to grow your brand.