Arsenal Sanctioned by UK Advertising Watchdog Over Misleading Fan Token Promotions

The United Kingdom’s Advertising Standards Authority, also known as the ASA, took a firm stance against Arsenal Football Club. The ASA expressed disapproval of promotional activities undertaken by Arsenal for their “supporter token” and issued a ruling against the club, dismissing their appeals.

In August, the ASA publicly criticized Arsenal for advertisements displayed on Facebook and their official website. These promotional materials centered around this “supporter token” concept, a digital currency linked to the club. Essentially, the ASA asserted that these advertisements were irresponsible and deceptive, potentially exploiting fans who might not possess a comprehensive understanding of the inherent risks associated with cryptocurrency.

Arsenal, collaborating with Socios, the creators of the fan token, attempted to defend their position. They contended that these tokens were distinct, emphasizing fan interaction rather than speculative investments. However, the ASA remained unconvinced. They maintained that Arsenal failed to adequately communicate the risks involved and misled supporters by neglecting to provide a clear explanation of the tokens’ functionality (specifically, the requirement to acquire them using other cryptocurrencies, which entails an additional purchase).

The North London football club maintained they were transparent with supporters regarding their fan tokens, stating that a single token was sufficient for participation in club surveys and promoting prudent acquisition. They also highlighted cautionary statements present on their online platform.

Nevertheless, the UK’s advertising watchdog remained unconvinced. While the club contended that their intended demographic possessed cryptocurrency knowledge and that the token platform was recognizable among football enthusiasts, the ASA refuted this by asserting that the promotional material suggested a requirement for financial commitment and rejected the idea that the cryptocurrency market was easily understood. Consequently, the ASA prohibited the advertisements from further circulation and cautioned the club to guarantee that upcoming promotions do not minimize investment hazards or unscrupulously capitalize on consumer naiveté.