In the last year, some of the most distressing stories in technology have come from the cryptocurrency industry. From fraudulent ICOs (initial coin offerings) to exchange heists, getting into cryptocurrencies has never been more dangerous. Because of all of the bad blood in the market, a major player has decided to move away from it: Google Ads.
After accidentally running unrelated ads with web-based miners built-in, Google began looking at crypto ads, and deemed them to be part of their "Bad Ads" category. Because of this, the company has decided not to run any more cryptocurrency ads on its platforms. This includes ads for ICOs as well as related financial services. Scott Spencer, Director of Sustainable Ads, said,
We're constantly updating our policies as we see new threats emerge. Last year, we added 28 new advertiser policies and 20 new publisher policies to combat new threats and improve the ads experience online. This year, we updated several policies to address ads in unregulated or speculative financial products like binary options, cryptocurrency, foreign exchange markets and contracts for difference (or CFDs).
While these policies don't officially go into effect until June, their affect on cryptocurrency markets was nearly immediate. At the beginning of the day Google made this announcement, March 14, the price of Bitcoin was at $9,300, but as the day went on, the price fell just below $7,800. That is a steep decline for a 24-hour time period, losing a full 15% of its value. Since then it has recovered some, but not to full value. Etherium made a similar move, moving from about $700 at the beginning of the day to under $600 at the end of the day. This made for a 16% price drop in a 24-hour time period. Etherium has not yet recovered, having reached a low of $470 on Sunday.