The Guidance consultation was released on July 17, with the aim to gather the views of a wide range of stakeholders, including cryptoasset firms, on their financial promotion rules.

By publishing the Proposed Guidance, the FCA seeks to ensure that firms understand how the financial promotion rules apply as well as their expectations for financial promotions on social media.

Comments should be provided on certain issues including the following:

• Standalone compliance (i.e. requirement that each stage of a financial promotion complies with FCA’s rules).

• Compliance issues on social media

• Risk warnings

• High-risk investments

• Recipients sharing or forwarding communications

• Unsolicited promotions

• Approval and record-keeping

• Affiliate marketing

• Wider regulation on advertising online as set out by the Advertising Standards Authority (ASA).

• Social media platforms

• Firms and their responsibilities as approvers of financial promotions

The Proposed Guidance refers only to engaging in investment activity, but the principles are also relevant to invitations/inducements to engage in claims management activity.

Interested stakeholders shall provide their comments by 11 September 2023.