There’s been enough time to absorb the news that Facebook is banning all cryptocurrency advertising from its news feeds. It’s another wonderfully negative story in a long line of negative stories about cryptocurrency, but perhaps there’s another angle from which to view this latest saga? What if the ban on crypto ads is actually a good thing for crypto?
Self-made “face of bitcoin” James Altucher was also able to make the news, saying this was a “positive move for the crypto space”. “There are many scams and illegitimate services out there,” he said… so let’s briefly unpack some of the meaning of that.
Looking into the crypto space, as you are right now, it’s clear that there are premium cryptocurrencies, and then there’s everything else. First there’s Bitcoin, Ethereum, Ripple, Bitcoin Cash, and Dash; all of which you can put into cold storage on a ledger wallet.
And then there’s everything else, which by and large, you can’t. These coins reside in the risk-driven space of versatile (hot) online storage. This is not the realm of the buy and hold strategy. This is what people mean when they talk about the “Wild West”. There’s no doubt that among these there are good and bad cryptocurrencies. Some alt-coins are vague conjurings of the imagination with no real backing, functional application, or investment strategy (such as the Finally Usable Crypto Karma Token, which markets a nihilistic expletive for hipster appeal).
Then you have your outright scammers, who will even go so far as to plagiarise other white papers to make their own offerings seem legitimate, as did the creators of the now-infamous ‘Tron’ alt-coin.
Facebook’s advertising algorithm, it would appear, was not capable of discerning between ads for quality cryptocurrency and less savoury offerings; that was to the advantage of those with little to no credence. They were being showcased alongside the bitcoin, and allowed to bask in reflected light. With Facebook advertising now out of the picture, legitimate cryptocurrencies will be free to outshine the scammers. That is why crypto-investors should be very happy about the new move by the world’s favourite social media platform.
Another thing that simply seems a problem is the way mainstream journalists continue to conflate bitcoin with cryptocurrency. For this particular story, “Facebook bans bitcoin!” was the gist of a few article headlines, and we saw the same kind of misinformation with reports of the South Korean regulatory moves the other day.
Why do journalists love bashing the bitcoin? Perhaps some insight to the mind of the jobbing journalist will enlighten us.
The present author can speak with some authority when he illustrates that when one works as a journalist, even for a only few weeks as a fresh-faced cadet, it’s very difficult to give up on a good alliterative opportunity. Alliteration is the act of creating a sentence out of words beginning with the same letter. You can bend the rules a little, but not too far. A logical formula for the phenomenon would go something like this – journalist to alliteration is as magpie to shiny thing: Irresistible!
While reading these headlines, one forms the idea that perhaps journalists find it too hard to resist playing the two words beginning with ‘B’ into their headlines? “Banning cryptocurrency” isn’t half as much fun as “banning Bitcoin” now, is it?
So there you go: A surefire way to weed bad press out of your daily crypto-research… If the headline contains the words “bitcoin” and “ban”, you know you’re reading a bear full of bull.
Bitcoin Trader is a digital currency brokerage firm providing a buy and hold strategy for high volume cryptocurrency investments.
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