Facebook Will Now Only Allow Registered Firms To Use Its Site For Financial Promotions

Meta has come forward with a pledge that promises to only allow registered firms to use its Facebook platform for financial promotions.

The news was recently announced by the head of the Financial Conduct Authority in the UK, who also called out Twitter to clear its stance on the matter.

The CFO for the FCA, Nikhil Rathi said during a recent conference how Google had volunteered to do the same and now they were happy to see Facebook agree to the clause, starting from this year. He also said that the board looked forward to seeing their deliveries while waiting for Twitter and others to come forward and clear their position.

It’s quite clear that Rathi’s watch has made the FCA more active in matters relating to these, even in those areas where it doesn’t have too much power to make a difference. This includes adding pressure publicly on some major companies.

Previously, we saw the FCA raise a number of issues relating to scams as more and more vulnerable customers fell into scams, especially those that were related to advertisements posted online.

Another item was floated during the same conference by the CEO of Prudential Regulation Authority about similar changes being done for banks and their regulation-related regimes.

From the ridding of yearly stress tests to introducing one buffer for capital requirements, the ideas were plenty. This also included a greater emphasis on covering a wide array of economic results. This was provided with a breakthrough example of how the insurance framework in the European region relies heavily upon a number of situations to see how strong is their resilience.

Hence, he questioned if only one or perhaps two in a year would be enough in terms of retail banking.

It’s true that such ideas may have plenty of critics and he knows that. But what’s important to understand is that such ideas may be called out for being away from reality but that doesn’t mean they can’t be improved to be more realistic.

Read next: Facebook Records An Increased Growth In Users While Revenue Declines During Q1 2022
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