Dutch Billionaire Yet Another Victim of Deceptive Crypto Ads, Sues Facebook

Earlier this week, Dutch billionaire John De Mol launched a lawsuit against Facebook over crypto ads using his image without permission.

In January 2018, Facebook became the first major social media platform to ban cryptocurrency-related ads.

Specifically, Facebook declared at the time that it would prohibit ads that use "Misleading or deceptive promotional practices," referring specifically to initial coin offerings and cryptocurrencies.

"We want people to continue to discover and learn about new products and services through Facebook ads without fear of scams or deception. That said, there are many companies who are advertising binary options, ICOs and cryptocurrencies that are not currently operating in good faith."

John De Mol case: Billionaire sues Facebook for damaged reputation.

Despite the extra measures from Facebook, it appears that fraud-related crypto ads still manage to find their way to the platform - as a result, the social media giant is now in the midst of a major lawsuit.

According to court documents obtained by Cointelegraph, the ads featuring De Mol's images promoted cryptocurrency scams on Facebook and Instagram, which allegedly damaged his reputation.

In a Reuters report, Schaap is quoted as saying that Facebook is responsible for such incidents, and that the current vetting process is not enough: "I don't know what reality Facebook lives in, but that doesn't work."

In response, Facebook lawyer Jens van den Brink reportedly stated that the social media company could not be forced to monitor all ads on its platforms at all times, and that Facebook had removed the De Mol-linked ads promptly after being informed about the complaints.

It is unclear how Facebook and other big tech companies aim to deal with fraudulent cryptocurrency ads in the future, but for now, the problem persists, dealing damage to common users and stigmatizing the crypto industry.