Twitter is to ban most advertising of cryptocurrencies on its platform, joining Facebook and Google in a clampdown on the nascent industry, the company said in a statement.
The San Francisco-based firm will this week launch a policy that prohibits advertising of initial coin offerings (ICOs), a form of crowdfunding used to raise cash by creating new coins, as well as adverts that promote token sales and crypto wallet services, the company said in a statement provided to Reuters.
The policy will also ban adverts from crypto-exchanges, with some limited exceptions.
Twitter said this month it was taking measures to prevent crypto-related accounts from engaging with others in a deceptive manner, but it has faced calls to go further after bans by Facebook and Google.
Regulators have stepped up warnings that bitcoin and other virtual currencies are highly speculative, some potentially fraudulent and that investors should be prepared to lose everything.
But last week the G20 group of rich nations failed to reach a consensus on how to supervise them.
With the increasing number of ICOs coming to market it is an impossible task for anyone, much less platforms like Twitter or Facebook, to keep on top of which ICOs and cryptocurrencies are genuine versus frauds, said Zennon Kapron, director of financial consultancy Kapronasia.
Although certainly ICO advertising must have been a significant source of revenue for Twitter, the repercussions of fraudulent activities just werent worth the risk.
The price of Bitcoin has fallen more than half to around $8,000 from a December peak of almost $20,000, as fears of a regulatory clampdown spooked investors. News of the Facebook and Google bans also knocked the price.
Cryptocurrencies Ethereum and Ripples XRP have tumbled this year too.