However, for financial products and services, like cryptocurrencies, regulations around advertising tend to be stricter than for most other businesses. These rules apply to social media as well, with many social platforms imposing stringent limitations or even blanket bans on crypto advertising.
Despite this, other platforms have worked to welcome cryptocurrencies and the vast user base that comes with them. We’ll be looking at how crypto companies can implement an advertising strategy on one of the world’s biggest social platforms, Twitter. Read on to find out more.
Twitter changes the rules
Way back in 2018, Twitter launched an initiative to remove advertisements for a range of cryptocoins, wallets, token sales, and other related products, citing a prevalence of scams as the reason behind the move. The news came after both Facebook and Google imposed similar bans that same year, with similar concerns over illegal activity.
However, in 2021, Twitter decided to change its tune, lifting the ban on crypto advertisements, and allowing them on the platform on a permission-only basis. Since 2020, there have been over 1 billion crypto-related Tweets, skyrocketing by 600% between 2020 and 2021. These numbers would have been difficult to ignore, and Twitter will have been eager to accommodate this enormous, growing demographic.
The home of crypto advertising
Since lifting the ban and permitting crypto companies to market their products on the platform, Twitter has become the de facto home of crypto advertising. There are now innumerable crypto-related Tweets, accounts, and communities on the platform, with the digital currencies being championed by global superstars like Elon Musk.
Rival companies like Facebook also lifted their bans on crypto ads, but the crypto community has remained, by and large, loyal to Twitter. Why is that? What does Twitter offer over these other platforms?
With approximately 206 million active daily users, Twitter is one of the most popular social media platforms on the planet. Around 500 million Tweets are posted every day, with over half of these coming from the Gen Z demographic. These impressive numbers make Twitter an attractive advertising prospect, with a range of brands, including crypto companies, looking to get in on the action.
Twitter’s design and functionality lends itself perfectly to advertising. Short, impactful Tweets are the ideal marketing vehicle, while the ease of sharing via the Retweet function allows for posts to spread and go viral with relative ease.
Twitter has a vast and multi-faceted community, users can rack up followers and interactions quickly, by simply involving themselves in the conversation and contributing regularly. Organic growth can be achieved through fairly basic means, with many crypto companies reaping the benefits of an interconnected network that is highly active and, more importantly, free to use. However, for companies wanting to take their marketing strategy to the next level, Twitter offers a paid ads feature that provides a number of further opportunities.
Running paid advertisements on Twitter opens up new options for growth and marketing opportunities. Research has indicated that Twitter ads have a click-through rate (CTR) of 2%, which is considerably higher than competitor platforms. Advertisements on Instagram have a CTR of 0.94%, Facebook 0.72%, and LinkedIn a paltry 0.06%.
Twitter offers a number of different advertising formats, from carousel ads with multiple pictures, takeover ads that place your ad alongside trending Tweets, and video ads. Unique features including polls, brand hashtags, and direct links to app downloads can be integrated with Twitter ads, increasing ad impact and promoting audience engagement.
This variety makes Twitter an increasingly popular place for companies to advertise their products, with a number of benefits over rival platforms that work to offset the slightly higher cost.
However, using Twitter’s paid ads service to promote your crypto company does come with some caveats, with ads still requiring express permission from the platform. In addition, US companies must register with the Securities and Exchange Commission, the Commodity Futures Trading Commission, or the Financial Crimes Enforcement Network before they can run paid advertisements.
According to reports, Twitter has yet to clearly define some of these requirements, leading to ads being pulled or not approved with no definite reason, leaving crypto companies in the dark.
The initial crypto boom we witnessed over the past few years has tapered off slightly. However, it remains a massive industry, with the potential for even further growth in the future. Digital advertising is critical for any company, crypto being no exception. Twitter presents an ideal place to develop a company and foster a community, the platform is perfectly suited to generate organic growth, while the paid ads option can provide a boost to your advertising campaign.