Over 30%

Over 30% of TikTok videos dedicated to crypto investments are deceptive

TikTok videos with popular cryptocurrency hashtags - such as crypto, cryptok, cryptoadvice, cryptocurrency, cryptotrading and cryptoinvesting - totaled over 6 billion views

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  • According to a recent study, on TikTok, the social media platform preferred by young people, more than 1 in 3 influencers publish misleading videos about Bitcoin investments

BTC

€25.286

 and cryptocurrencies.

TikTok has been widely adopted as an alternative to Google for video searches. However, it has been found that some influencers share unverified information about crypto investments on the social media platform, often trying to persuade unwise viewers to invest their money (or those of their parents) in cryptocurrencies destined to fail.

TikTok influencers use the hashtag "#cryptok" when publishing cryptocurrency-related content. An analysis of over 1,161 TikTok videos of this type - conducted by DappGambl - revealed that over 1 in 3 videos on was misleading. The research also found that only 1 account or video of "#criptok" out of 10 contained some form of disclaimer that warned users about investment risks.

47% of TikTok creators have tried to promote services to earn money. In addition, mainstream influencers such as Kim Kardashian, Jake Paul and Soulja Boy have been accused of promoting cryptocurrencies to their millions of fans without revealing the payments received.

The US Securities and Exchange Commission forced Kim Kardashian to pay $1.26 million in penalties for promoting EthereumMax (EMAX). While TikTok influencers have a smaller audience than their mainstream counterparts, the potential financial risk to unwitting investors remains equally high.

Research also found that 1 out of 3 misleading videos mentions Bitcoin. In addition, videos on TikTok with popular cryptocurrency hashtags - such as crypto, cryptok, cryptoadvice, cryptocurrency, cryptotrading and cryptoinvesting - totaled over 6 billion views.

Audiences often overlook the bad intentions of their favorite influencers and end up trusting their content only based on the high number of views or likes. Investors, both new and experienced, are advised to do extensive research on crypto projects before making any form of investment.

Follow Cointelegraph’s TikTok account for the latest news on the crypto industry.

On April 2, a $1 billion lawsuit was filed against crypto exchange Binance, its CEO Changpeng "CZ" Zhao and three crypto influencers for promoting unregistered security.

"This is a classic example of a centralized exchange that promotes the sale of unregistered security", reads the case presented by the law firm Moscowitz and Boies Schiller Flexner.

As Cointelegraph reports, the lawsuit claims that "millions" of people could be entitled to compensation.

Translation by Matteo Carrone

• #Bitcoin

• #Google

• #Research

• #Companies

• #Investments

• #Social Media

• #Cryptocurrency Investment

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