A lawsuit has been filed against Google in Russia after the company announced restrictions on cryptocurrency-related ads. Entrepreneur Vladimir Orehov demands a 2 billion ruble compensation from the Russian Google entity ООО «Гугл». He claims the ban will deprive him of opportunities to invest in crypto projects and find investors to fund his own business initiatives.
Also read: Ukraine to Legalize Crypto Mining as Economic Activity
Foregone Earnings
Google’s decision to impose restrictions on the advertisement of cryptocurrencies and related content has triggered a legal action in the Russian Federation. A local businessman has filed a lawsuit against the Russian-registered Google entity ООО «Гугл», Vedomosti reports. Vladimir Orehov claims he is missing business opportunities and possibly losing money. He insists on receiving compensation for his foregone earnings to the amount of ₽2 billion RUB (almost $35 million USD).
The Russian crypto entrepreneur says the ban will deprive him of opportunities to invest in crypto projects and also find other investors willing to support his business plans. Orehov wants to be compensated for the “moral damage” caused by the ban and insists on its lifting. The lawsuit has been filed with the Zamoskvorechye District Court. Its press secretary confirmed the claim has been registered on March 15.
Earlier this week, Google announced it was planning to restrict ads of cryptocurrencies and content related to initial coin offerings, cryptocurrency exchanges, wallets, and crypto trading advice. The new rules should be implemented by June, 2018, as news.Bitcoin.com reported. The policy change comes weeks after Facebook issued its ban on crypto ads.
Vladimir Orehov says he invests in cryptocurrency projects and has his own ideas which need funding. The Russian has been developing a network of crypto ATMs, with a decentralized exchange, a mobile wallet and a crypto payment system. He actually planned to conduct an initial coin offering with a pre-sale in June. Orehov hoped to attract a total of $2 million dollars through his ICO.
The entrepreneur complains he has lost access to potential investors “overnight” because of the impending ban. He says the restrictions on ICO ads deprive him of useful information about other businesses conducting token sales. That, he insists, leads to missed opportunities for “promising investments” and will affect his income in the future. Vladimir Orehov thinks the ban is illegal and violates his right to access information.
No Rush to Copy Google
The news about the legal action in Moscow comes after calls in the State Duma against restricting cryptocurrency ads. The first Deputy Head of the parliamentary Legislation Committee, Mikhail Emelyanov, thinks banning crypto ads is not worth it. Despite his own mistrust of cryptocurrencies, the lawmaker believes people should have the right to make choices.
That’s why I wouldn’t rush to copy Google and take such decisions.
Many people will be deceived, but that does not mean crypto advertising should
