X Removes Crypto Ad Ban: New Paid Partnership Rules Explained for Influencers

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TLDR

  • X has ended its worldwide prohibition on paid cryptocurrency promotions, enabling influencers to earn money from crypto content with a “Paid Partnership” label
  • This change is not allowed in the EU, UK, and Australia because of tighter financial advertising regulations in those areas
  • Influencers have to reveal paid promotions or they might break FTC endorsement rules
  • The crypto community has mixed feelings — some support the decision, while others caution it could cause widespread bans on Crypto Twitter
  • X is also getting ready to introduce Smart Cashtags, which will let users trade stocks and cryptocurrency right on the platform

X has taken cryptocurrency off its list of banned sectors for paid promotions. The modification became effective right away and was verified by several monitors tracking X’s policy page.

This change rolls back a prohibition that existed since at least June 2024. The whole financial products group — covering loans, investment services, and crypto — was eliminated from X’s advertising rules.

According to the new guidelines, influencers and content creators can now receive payment to endorse crypto projects on the platform. They need to mark the post with a “Paid Partnership” tag.

Nikita Bier, X’s head of product, stated the feature focuses on transparency. “Undisclosed promotions hurt the integrity of the product and lead people to distrust the content they read on X,” he said.

Influencers must ensure their content complies with relevant laws, including FTC endorsement regulations. Posts lacking the label could expose creators to legal consequences.

Where the Ban Still Stands

The updated policy doesn’t apply universally. Users in the UK, EU, and Australia remain prevented from viewing paid crypto promotions.

Those areas maintain stricter financial promotion regulations, and X has assigned influencers the duty of ensuring their content doesn’t appear in those markets.

Gambling was also eliminated from the banned list with this update. Other sectors — such as pharmaceuticals, tobacco, weapons, and weight loss products — were placed on the restricted list.

Crypto community responses have varied. Some saw the policy as evidence of crypto becoming more mainstream on the platform.

Analyst Benjamin Cowen took a more negative view. He claimed 90% of crypto influencers would now require a different business model instead of feigning interest in projects they were paid to endorse.

A user called Rune expressed worries about enforcement. They cautioned that the platform was already suspending users for token promotion, regardless of whether payment was received.

X Eyes Stock and Crypto Trading Features

In addition to the advertising policy shift, X is broadening its financial capabilities. On Feb. 14, Nikita Bier announced the platform would debut Smart Cashtags, permitting users to trade stocks and crypto directly on X.

X owner also verified that X Money, the platform’s payment function, will begin a limited beta test within two months prior to a broader release.

X Money represents part of Musk’s strategy to transform X into an all-in-one app incorporating social, messaging, and financial features. It remains unconfirmed whether crypto will be part of X Money.

The crypto advertising policy change is currently active. The Smart Cashtags trading function is anticipated to launch in the upcoming months.