While the crypto industry as a whole is suffering from a prolonged bear market, the crypto marketing industry has also been hit hard. Just a few months ago, cryptocurrency advertising was booming across the board. From Times Square to the London underground to major sporting events like the NFL and football leagues, cryptocurrency advertising was at an all-time high. celebrity Matt Damon, LeBron James, Tom Brady, Snoop Dogg and others were regulars in such ads.
However, the global financial market crisis and ongoing bear market have significantly reduced investment in such advertising. According to recent data, coin baseFTX, and Crypto.com have slashed their marketing budgets in the past few months.
This February, the US crypto industry spent over $84.5 million on marketing and advertising during the annual Super Bowl. By June, that number had dropped to just 3 million. Last month, total spending on cryptocurrency advertising in the US was just $36,000, the lowest since January 2021.
Will crypto ads take center stage again?
Cryptocurrency companies should not expect consistent profits from the advertising market, according to marketing experts. Investments and returns from crypto advertising are directly proportional to the wider market.
If market prices crash and illegal activities such as fraud and hacking increase in this space, users will be reluctant to invest, ultimately lowering the potential return from marketing investments. Liquidations on popular exchanges will need to drop significantly for investment and earnings to surge again in this space.
It is unclear when cryptocurrency advertising will return to its brilliance.popular exchanges crypto dot com launched a massive global campaign last year, with a budget that at one point exceeded $100 million.After the recent drop in cryptocurrency prices, celebrities associated with such ads are Matt Damon was heavily criticized on social media. We may never see such an overwhelming spending on cryptocurrency marketing unless investment and trading in this space increases to such levels again.