National Advertising Division Recommends Cash App Financial Services Platform Discontinue or Modify Megan Thee Stallion Video About Investing
703.247.9330 / press@bbbnp.org
New York, NY – November 21, 2022 – To prevent a company from conveying to consumers the unsupported message that consumers can achieve significant wealth with minimum investment, the National Advertising Division (NAD) of BBB National Programs recommended that Cash App discontinue or modify its video commercial with Megan Thee Stallion telling consumers they can invest as little as a dollar alongside images of a coin going down and up, followed by her adding a gold bar to a stack of gold bars and saying that “with my knowledge and your hustle, you’ll have your own empire in no time.”
The claims at issue were challenged by NAD as part of its routine independent monitoring of truth and transparency in U.S. national advertising.
Cash App is a brand name of a financial services platform operated by Block, Inc. that provides a variety of financial payment and investment-related services, including allowing consumers to invest in stocks and Bitcoin.
“You’ll Have Your Own Empire in No Time”
NAD’s inquiry focused on whether the exaggerated statement “You’ll have your own empire in no time” is hyperbole that consumers would not take literally or conveys a message requiring support.
NAD noted that where an objective representation is made (i.e., termed in fact rather than opinion) regarding the performance or other tangible attributes of a product, that is sufficiently specific and material enough to create expectations in consumers, then substantiation for the claim is required.
Although the claim “You’ll have your own empire in no time” standing alone might be vague, non-actionable puffery, it is accompanied by images of bouncing coins beside accumulating gold bars. Further, NAD found that the express claim is made in the context of advertising touting that consumers can invest as little as $1 on Cash App, and thus appeals to an audience that may not be familiar with the risks associated with investing or the volatility associated with Bitcoin in particular.
NAD determined that while consumers may understand that they will not achieve the success of Megan Thee Stallion or create an empire, they could also reasonably take away the implied message that Bitcoin investing generates significant wealth with minimum investment, an objective message requiring support. According to NAD, there was no support for this message.
Further, NAD concluded that the audio (“Bitcoin is an investment” for which “the price can go “up and down by the hour”) and written (“Investing has risks: you may lose money”) disclosures in the video were not clear and conspicuous.
In its advertiser statement, Cash App stated that it “agrees to comply with NAD’s recommendations” and that it “has not hosted or distributed the video since March 31, 2022, and has no plans to do so in the future.” The advertiser further stated that it respectfully disagrees with NAD’s conclusion about the message conveyed by the video and noted that it “fully complies with all regulatory requirements regarding the sale of Bitcoin.”
All BBB National Programs case decision summaries can be found in the case decision library. For the full text of NAD, NARB, and CARU decisions, subscribe to the online archive.
Subscribe to the Ad Law Insights or Privacy Initiatives newsletters for an exclusive monthly analysis and insider perspectives on the latest trends and case decisions in advertising law and data privacy.
Latest Decisions
National Advertising Division Recommends Procter & Gamble Modify or Discontinue Certain #1 Claims for Tide Free & Gentle
New York, NY – January 17, 2025 – The National Advertising Division recommended that P&G modify the claim “From Tide, the #1 brand used by dermatologists” when used in connection with imagery for Tide Free & Gentle and discontinue the related claim “From Tide, the #1 Trusted Detergent Brand for Sensitive...
National Advertising Division Recommends T-Mobile Discontinue “Families Can Save 20% Every Month Versus AT&T and Verizon” Claim
New York, NY – January 16, 2025 – In a Fast-Track SWIFT challenge brought by competitor AT&T, BBB National Programs’ National Advertising Division recommended T-Mobile discontinue its claim for 20% savings on monthly wireless services.
National Advertising Division Recommends T-Mobile Discontinue “Save On Every Plan vs. The Other Big Guys” Claim
New York, NY – January 16, 2025 – In a Fast-Track SWIFT challenge brought by AT&T, BBB National Programs’ National Advertising Division recommended T-Mobile discontinue its claim that customers can “save on every plan vs. the other big guys.”
National Advertising Division Recommends NuOrganic Cosmetics Discontinue Eyelash Serum Claims and Disclose Material Connections to Influencers
New York, NY – January 14, 2025 – The National Advertising Division recommended NuOrganic Cosmetics discontinue influencer videos containing unsupported claims for its eyelash serum, including “naturally grown long lashes,” and ensure material connections to affiliates are clearly and conspicuously...