Singapore has instructed major social media platforms including Facebook, Instagram and TikTok to block financial services advertisements from entities lacking local authorisation, giving them until January 2027 to implement the requirement. The directive follows police data showing social media accounted for roughly thirty percent of reported scam cases in recent months, with Facebook representing approximately eighteen percent alone.
Under the Code of Practice for Social Media Services issued through the Online Criminal Harms Act, platforms must reject paid financial promotions targeting Singapore users unless the advertiser holds a Monetary Authority of Singapore licence, another relevant Singapore authorisation, or acts under the authority of a licensed entity. The advertiser definition extends beyond the named company to include brand owners, agencies, content creators, influencers and affiliate marketers involved in creating, funding or distributing the content.
The practical effect is that offshore brokers, crypto firms and trading service providers without Singapore authorisation will lose paid advertising access to local users. Foreign groups may still advertise through appropriately licensed local entities or their authorised representatives. The restriction applies specifically to paid content rather than organic social media posts.
Platforms must now pre-screen all advertisements before publication, checking for scam indicators including unrealistic returns, impersonation tactics, URL cloaking and unlicensed product offers. They must block content suspected of supporting fraud or malicious cyber activity.
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Brokers relying on paid social channels for Singapore client acquisition must now secure local authorisation or formal partnerships with MAS-licensed entities or face complete advertising exclusion from the jurisdiction.
Source: Finance Magnates