Scam Crypto Ads on Facebook are the subject of an Australian watchdog's lawsuit against Meta

Another complaint has been filed against Meta, formerly known as Facebook, for its role in facilitating dubious crypto advertising on its social media network.

Conclusion

  • Fake crypto adverts involving celebrities are being allowed by Meta (Facebook).
  • The swindle cost one victim over $500,000 in all.
  • Several lawsuits have been filed against the corporation because of similar occurrences.

Meta Platforms, Inc., the company that owns Facebook, was sued by the Australian Competition and Consumer Commission (ACCC) on March 18.

Facebook has been accused of "false, misleading, or deceptive behavior" by the consumer watchdog for allegedly running scam adverts portraying famous Australian public personalities on the social media site.

Dick Smith, David Koch, and Mike Baird are just a few of the Aussies who appear to have supported bitcoin frauds in the questionable advertisements.

"False or misleading behaviour and claims by the advertising," the ACCC charged Meta with assisting and abetting or knowingly enabling.

Scammers flock to it.

Over the past several years, social media has become a hive of frauds, bogus advertising, and specious news. Despite the fact that the firm professes to monitor and control what is uploaded, an astounding number of these kinds of items nevertheless manage to sneak through the cracks.

Meta is liable for these adverts that it puts on its platform, says ACCC Chair Rod Sims, before adding:

“In one shocking instance, we are aware of a consumer who lost more than 650,000 AUD (US $480,000) due to one of these scams being falsely advertised as an investment opportunity on Facebook. This is disgraceful.”

Scam crypto advertising with celebrity endorsements were appearing on Facebook, but Facebook didn't do enough to stop them, he said. According to him, the public people implicated in the frauds had contacted Meta, but the company failed to take action.

Additionally, Sims added that Meta utilizes technology and algorithms to target certain people with these adverts, the ones who are most prone to reacting to them and clicking the fake links.

“Meta should have been doing more to detect and then remove false or misleading ads on Facebook, to prevent consumers from falling victim to ruthless scammers.”

According to the statement, the watchdog was seeking "declarations, injunctions, fines and other measures," but did not identify any damages.

Meta hasn't had a bad run of luck.

Scammy or deceptive Facebook advertising "break our regulations and are not good for our community," a Sydney-based Meta spokesman said, according to Bloomberg. For people who have already lost money to these frauds, the remarks are a bit too late.

Suing Facebook for permitting fraudulent advertising on its platform isn't the first time. Class-action lawsuits allege that the firm collaborated with fraudsters by distributing deceptive adverts and gathering confidential personal information from its customers in California in August.

Earlier last month, millionaire Australian Andrew Forrest sued Facebook for identical crypto scam advertising that illegally used his image to attract victims.

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