GAFAs’ cryptocurrency advertising policies are awfully efficient and counterproductive

A quick note on the recent decisions by Google, Facebook, Twitter or Linkedin to restrict advertising of cryptocurrencies.

First, let’s take a look at how Facebook and Twitter approach this restriction.

On one hand, Facebook’s policy amendment reads: "ads must not promote financial products and services that are frequently associated with misleading or deceptive promotional practices, such as binary options, initial coin offerings, or cryptocurrency".

Twitter, on the other hand, seems more flexible as it "permits the promotion of financial services and related content [including cryptocurrency ICOs and cryptocurrency token sales] with restrictions. These restrictions are based on the specific product or service being promoted, as well as the country that a campaign is targeting". If a number of conditions are met, including the compatibility "with all applicable law", then the product can be advertised in a defined number of countries.

I’m not arguing in favor or against ICOs here and I actually believe that they should be regulated in order to clean up the mess that reigns among cryptocurrencies, most of which solely rely on speculation and are not linked to anything useful.

However I find it rather suspicious that Google et. al. decide all of a sudden to limit ICO advertising on their platforms, therefore anticipating any regulatory action. I’m not convinced that these organisations took the same preventative measures in order to anticipate the entry into application of the EU’s General Data Protection Regulation (GDPR).

Standing in the way of innovation is also not in the genes of the GAFA’s creators, and, as far as I understand, a number of blockchain startups relying on ICOs are innovating in many ways to develop tomorrow’s products that will bring a real added-value to the society (think of data-safe and environmentally-friendly decentralized cloud storage, decentralized computing, identification and traceability mechanisms, etc.)

So what’s GAFA’s real intent behind this advertising ban? Perhaps they don’t want competition to be one step ahead of their own blockchain R&D? Does Facebook fear that people will progressively shift away from its service to put their trust in an entirely decentralized social network (hello Steemit!) Does Google fear that competition led by Storj or Sia will weaken the centralized cloud model embodied by Google Drive?

Considering the swift decline in price sustained by all cryptocurrencies, these actions have so far proven "effective". Even more than when China announced that it will ban domestic cryptocurrency trading platforms. Quite disturbing...