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Stronger Consumer Protection: New Rules for Digital Asset and Crypto Advertising.

This Act establishes strict requirements for advertising cryptocurrencies and digital asset services to protect citizens from misleading information. Companies must now clearly disclose all fees, risks, and whether recommendations are paid or if the firm has a financial interest in the asset. This ensures consumers receive reliable data, enabling them to make informed investment decisions in the volatile digital market.
Key points
All digital asset advertisements must be approved by a company officer and include clear warnings about risks, volatility, and potential losses.
Mandatory prominent disclosure of all fees (e.g., custody, account fees) and information on whether promoters received compensation (especially if over $1,000).
Prohibition of false, exaggerated, or promissory claims; past performance cannot be implied as a guarantee of future success.
Imposition of financial penalties on companies (up to $1 million for subsequent violations) and potential industry bans for individuals who repeatedly violate the new advertising standards.
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Expired
Citizen Poll
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Additional Information
Print number: 118_S_1357
Sponsor: Sen. Sinema, Kyrsten [I-AZ]
Process start date: 2023-04-27
Lustra uses Artificial Intelligence. Verify details in source documents.
Summarized by: gemini-2.5-flash-preview-09-2025
Source data: api.congress.gov
AI work logs for this document launch

OFFICIAL LEGAL TITLE

Responsible Digital Asset Advertising Act of 2023

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_S_1357.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2023-04-27.

What are the main provisions?

Key points include:

  • All digital asset advertisements must be approved by a company officer and include clear warnings about risks, volatility, and potential losses.
  • Mandatory prominent disclosure of all fees (e.g., custody, account fees) and information on whether promoters received compensation (especially if over $1,000).
  • Prohibition of false, exaggerated, or promissory claims; past performance cannot be implied as a guarantee of future success.
  • Imposition of financial penalties on companies (up to $1 million for subsequent violations) and potential industry bans for individuals who repeatedly violate the new advertising standards.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Sinema, Kyrsten [I-AZ].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-26.

CATEGORIES

Economy