Deceptive marketing is legally dangerous both for those producing it and for those indirectly benefiting from it.
This article was written by Tal Itzhak Ron, CEO and Chairman of Tal Ron, Drihem and Co and Offshore and Gaming Specialist Aviya Arika.
The world of affiliate marketing is a colorful one, from which new magical creatures keep emerging. With the rise of the 'get rich quick' niche emerged the fairies of content marketing and videos with amazing success stories told 'first hand' by people who managed to get rich from binary options or Forex trading.
Robert Mfune, who was the subject of a recent Finance Magnates article, and his like, are the Cinderellas of this realm. These new age affiliates walked the extra mile and crossed the border beyond 'conventional' get rich quick content marketing and videos to tailoring a whole character, backed by Instagram photos, articles and tweets, of new money young millionaires, who of course, made their sudden fortune out of binary options or Forex Trading.
As if get rich quick marketing wasn't legally dangerous enough already, seems like these 'character affiliates', as we like to call them, made the plot thicken even more. Deceptive marketing is legally considered, in many countries, a malpractice which is banned by law and by different consumer protection regulations.
What bothers legislators and regulatory authorities the most is the damage that deceptive marketing causes consumers. In a suit filed a few years back by the American FTC (Federal Trade Commission) and the state of Connecticut, an affiliate marketing company named LeadClick was held liable for its use of websites that displayed deceptive marketing content related to weight loss products. This liability was determined even though LeadClick wasn't directly responsible for the creation of the content! The test the court used was asking whether substantial damage was caused to consumers.
Deducting from this case, and other cases in other countries, deceptive marketing is legally dangerous both for those producing it and for those indirectly benefiting from it. That is why we believe brokers who use the services of such affiliate marketers should take legal precautions, in order to legally cover themselves in case things go the wrong way.
For example, the brokers Mfune mentions as the ones who are "popular and trusted" may be exposed if he gets into trouble. He presents them while posing as an unbiased young recently rich man, when he is in fact their supplier, legally contractually bound to them- and they are his clients. When they receive leads generated from these recommendations of his, they are in fact cooperating with the deception, and benefit from it.
More about the authors:
Adv. and Notary Tal Itzhak Ron is a General Member of International Masters of Gaming Law (IMGL), practicing Hi Tech, Mobile Applications law, Digital Media, i-Gaming and Financial Entertainment law. Tal graduated from Haifa University School of Law (LL.B.) and Faculty of Computer Science (B.Sc.) and is the CEO and Chairman of Tal Ron, Drihem and Co., Law Firm.
Offshore and Gaming Specialist Aviya Arika is a seasoned professional who have been involved in the gaming and binary options industries for years. Through hands-on experience in the leading financial entertainment law firm Tal Ron, Drihem and Co., working with the firm’s chairman, Ms. Arika's areas of work with the firm extends from offshore and international finance law to regulated licensing and gaming law.
This article was written by Tal Itzhak Ron, CEO and Chairman of Tal Ron, Drihem and Co and Offshore and Gaming Specialist Aviya Arika.
The world of affiliate marketing is a colorful one, from which new magical creatures keep emerging. With the rise of the 'get rich quick' niche emerged the fairies of content marketing and videos with amazing success stories told 'first hand' by people who managed to get rich from binary options or Forex trading.
Robert Mfune, who was the subject of a recent Finance Magnates article, and his like, are the Cinderellas of this realm. These new age affiliates walked the extra mile and crossed the border beyond 'conventional' get rich quick content marketing and videos to tailoring a whole character, backed by Instagram photos, articles and tweets, of new money young millionaires, who of course, made their sudden fortune out of binary options or Forex Trading.
As if get rich quick marketing wasn't legally dangerous enough already, seems like these 'character affiliates', as we like to call them, made the plot thicken even more. Deceptive marketing is legally considered, in many countries, a malpractice which is banned by law and by different consumer protection regulations.
What bothers legislators and regulatory authorities the most is the damage that deceptive marketing causes consumers. In a suit filed a few years back by the American FTC (Federal Trade Commission) and the state of Connecticut, an affiliate marketing company named LeadClick was held liable for its use of websites that displayed deceptive marketing content related to weight loss products. This liability was determined even though LeadClick wasn't directly responsible for the creation of the content! The test the court used was asking whether substantial damage was caused to consumers.
Deducting from this case, and other cases in other countries, deceptive marketing is legally dangerous both for those producing it and for those indirectly benefiting from it. That is why we believe brokers who use the services of such affiliate marketers should take legal precautions, in order to legally cover themselves in case things go the wrong way.
For example, the brokers Mfune mentions as the ones who are "popular and trusted" may be exposed if he gets into trouble. He presents them while posing as an unbiased young recently rich man, when he is in fact their supplier, legally contractually bound to them- and they are his clients. When they receive leads generated from these recommendations of his, they are in fact cooperating with the deception, and benefit from it.
More about the authors:
Adv. and Notary Tal Itzhak Ron is a General Member of International Masters of Gaming Law (IMGL), practicing Hi Tech, Mobile Applications law, Digital Media, i-Gaming and Financial Entertainment law. Tal graduated from Haifa University School of Law (LL.B.) and Faculty of Computer Science (B.Sc.) and is the CEO and Chairman of Tal Ron, Drihem and Co., Law Firm.
Offshore and Gaming Specialist Aviya Arika is a seasoned professional who have been involved in the gaming and binary options industries for years. Through hands-on experience in the leading financial entertainment law firm Tal Ron, Drihem and Co., working with the firm’s chairman, Ms. Arika's areas of work with the firm extends from offshore and international finance law to regulated licensing and gaming law.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Finance Magnates Annual Awards 2024 | FM Awards 2024 Highlights
Finance Magnates Annual Awards 2024 | FM Awards 2024 Highlights
🎥Catch the best moments from the Finance Magnates Annual Awards Gala Dinner!
An evening where top names in finance came together to celebrate achievements, enjoy live music, and connect over a memorable dinner. Watch the highlights and feel the energy of our first gala in Cyprus!
Congratulations to all the winners for their dedication to excellence and leadership in the financial industry, including XM, Trading PRO, FP Markets, Deriv, FxPro, LATAM, Headway, ATFX, FBS, AMEGA, EC Markets, Axi
For more information about the 1st Finance Magnates Annual Awards, visit https://bit.ly/3Zb7wNz
#FinanceMagnatesGala #IndustryExcellence #GalaHighlights #FinanceMagnatesAnnualAwards #FinanceMagnatesAwards #CelebratingSuccess #FinanceCommunity
🎥Catch the best moments from the Finance Magnates Annual Awards Gala Dinner!
An evening where top names in finance came together to celebrate achievements, enjoy live music, and connect over a memorable dinner. Watch the highlights and feel the energy of our first gala in Cyprus!
Congratulations to all the winners for their dedication to excellence and leadership in the financial industry, including XM, Trading PRO, FP Markets, Deriv, FxPro, LATAM, Headway, ATFX, FBS, AMEGA, EC Markets, Axi
For more information about the 1st Finance Magnates Annual Awards, visit https://bit.ly/3Zb7wNz
#FinanceMagnatesGala #IndustryExcellence #GalaHighlights #FinanceMagnatesAnnualAwards #FinanceMagnatesAwards #CelebratingSuccess #FinanceCommunity
FMLS:24 | Shaping the Next Era of Financial Evolution
FMLS:24 | Shaping the Next Era of Financial Evolution
Welcome to FMLS:24 – the premier event where influential brands and leaders in trading, payments, fintech, and digital assets come together!
Join over 2,500 industry professionals, engage with 150+ expert speakers, and discover endless opportunities with 70+ top exhibitors. FMLS:24 is where senior executives and decision-makers gather to close deals, forge new partnerships, and strengthen connections with long-term clients.
Whether you’re in finance, technology, or payments, this summit is your gateway to future growth, meaningful collaborations, and industry-leading insights.
👉 Don't miss out – secure your ticket now at https://events.financemagnates.com/ZQEYy0?utm_source=youtube&utm_campaign=fmls24-awareness&utm_medium=video&RefId=MLS%3A24+Video+Promo
#fmls #fmls24 #fmevents #financemagnates #forex #payments #crypto #events #london #fintech #ai #generativeai #technology #onlinetrading #forex #investing #investors #tech
📣 Stay updated with the latest in finance and trading!
Follow FMevents across our social media platforms for news, insights, and event updates. Connect with us today:
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Don't miss out on our latest videos, interviews, and event coverage. Subscribe to our YouTube channel for more!
Welcome to FMLS:24 – the premier event where influential brands and leaders in trading, payments, fintech, and digital assets come together!
Join over 2,500 industry professionals, engage with 150+ expert speakers, and discover endless opportunities with 70+ top exhibitors. FMLS:24 is where senior executives and decision-makers gather to close deals, forge new partnerships, and strengthen connections with long-term clients.
Whether you’re in finance, technology, or payments, this summit is your gateway to future growth, meaningful collaborations, and industry-leading insights.
👉 Don't miss out – secure your ticket now at https://events.financemagnates.com/ZQEYy0?utm_source=youtube&utm_campaign=fmls24-awareness&utm_medium=video&RefId=MLS%3A24+Video+Promo
#fmls #fmls24 #fmevents #financemagnates #forex #payments #crypto #events #london #fintech #ai #generativeai #technology #onlinetrading #forex #investing #investors #tech
📣 Stay updated with the latest in finance and trading!
Follow FMevents across our social media platforms for news, insights, and event updates. Connect with us today:
🔗 LinkedIn: https://www.linkedin.com/showcase/financemagnates-events/
👍 Facebook: https://www.facebook.com/FinanceMagnatesEvents
📸 Instagram: https://www.instagram.com/fmevents_official
🐦 Twitter: https://twitter.com/F_M_events
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Don't miss out on our latest videos, interviews, and event coverage. Subscribe to our YouTube channel for more!