UK financial regulators have teamed up with an unlikely ally in their fight against online scams: a reality TV star.
(Bloomberg) — UK financial regulators have teamed up with an unlikely ally in their fight against online scams: a reality TV star.
Love Island contestant Sharon Gaffka has joined a campaign by the Financial Conduct Authority about the risks of promoting “get rich quick” schemes online.
“When you leave a show like Love Island, you are bombarded with opportunities to promote products and work with brands, if like me, you’re new to this kind of work, it can be a little bit overwhelming,” said Gaffka, who took part in the popular dating reality show’s seventh season in 2021.
Gaffka already has experience working with the government. Before her switch to content creation, she spent several months at the Department for Transport and was a Brexit policy adviser at the Department for Environment, Food and Rural Affairs, according to her LinkedIn profile.
The Financial Conduct Authority and Advertising Standards Authority said they will provide influencers and their agents clear information about what could be an illegal financial promotion. The FCA blocked more than 8,500 promotions last year as it targets a growing number of internet personalities posting ads that break its rules.
The watchdog advised influencers to be particularly cautious about promoting cryptocurrencies, and avoid creating a sense of urgency or any suggestion it’s an easy investment choice. The FCA is set to get more powers to police the promotion of crypto and has repeatedly warned users they risk losing all their money.
“We’ve seen more cases of influencers touting products that they shouldn’t be,” said Sarah Pritchard, executive director of markets at the FCA. “They are often doing this without knowledge of the rules and without understanding of the harm they could cause their followers.”
Making an unlawful financial promotion is a criminal offence that carries a maximum sentence of two years in prison and an unlimited fine, the regulator said.
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