The UK's advertising regulator has taken decisive action against cryptocurrency platform Coinbase, banning a series of advertisements that used dark humour to address financial hardship concerns. The controversial campaign, which featured the repeated slogan "everything's fine" alongside depictions of economic struggle, has been deemed irresponsible by the Advertising Standards Authority (ASA).
Regulatory Intervention Against Crypto Marketing
Following a detailed investigation, the ASA has formally prohibited Coinbase from showing the advertisements again. The regulator determined that the campaign, which included one video advertisement and three poster designs, trivialised the significant risks associated with cryptocurrency investments. The advertisements were found to imply that cryptocurrency could serve as a straightforward solution to pressing cost of living concerns, a message the watchdog considered potentially misleading to vulnerable consumers.
Content That Sparked Controversy
The banned video advertisement presented a satirical musical number featuring workers singing about various financial difficulties, including housing unaffordability and rising living costs. Visual elements within the advertisement showed distressing domestic situations, including a burst sewage pipe, rubbish-strewn streets with visible rodents, and homes experiencing power cuts. The accompanying poster advertisements highlighted specific financial challenges, such as escalating egg prices, all accompanied by the ironic "everything is fine" messaging.
This campaign generated substantial public controversy, prompting thirty-five formal complaints to the advertising watchdog from concerned consumers who found the approach inappropriate and potentially harmful.
Coinbase's Defence Strategy
Coinbase mounted a robust defence against the ASA's findings, denying that their advertisements were irresponsible. The cryptocurrency exchange emphasised its position as the UK's largest registered cryptocurrency platform, arguing that increased consumer awareness of digital assets made the regulator's concerns outdated. The company drew distinctions between cryptocurrency businesses and industries with recognised societal harms, such as alcohol, tobacco, and gambling sectors, which have specific advertising guidance.
The platform maintained that consumers would reasonably interpret the advertisements as satirical content, with the video advertisement deliberately exaggerated for entertainment purposes. Coinbase firmly rejected claims that their marketing encouraged socially irresponsible behaviour or downplayed cryptocurrency investment risks.
Watchdog's Final Determination
The ASA ultimately dismissed Coinbase's arguments, concluding that the public would likely interpret the "everything's fine" phrase as sarcastic rather than satirical. While acknowledging growing public awareness of cryptocurrency as an asset class, the regulator noted that substantial knowledge gaps remain regarding how these complex financial products actually function.
The watchdog stated: "We acknowledged that the ad was satirical, and consumers were likely to understand that some of the financial hardships depicted in the ad had been exaggerated for humorous effect. Nevertheless, they were based on real financial concerns which many consumers would have lived experience of. We considered that using humour to reference serious financial concerns, alongside a cue to 'change', risked presenting complex, high-risk financial products as an easy or obvious response to those concerns."
The ASA further highlighted that the advertisements' widespread distribution across multiple media platforms and public spaces, including railway stations, meant they reached large audiences potentially experiencing financial hardship. This broad exposure created vulnerability to implications that Coinbase could effectively address serious financial concerns through cryptocurrency investment.
Coinbase has been formally notified of the advertising ban and contacted for further comment regarding the regulatory decision.
