 ▲ David Schwartz, X, XRP/ChatGPT-generated image |
Controversy is heating up over social media cryptocurrency promotion policies as “Paid Partnership” labels have begun appearing forcibly on posts related to XRP, prompting a key Ripple executive to respond directly.
According to crypto-focused outlet NewsBTC on March 2 (local time), Ripple Chief Technology Officer Emeritus David Schwartz recently expressed strong doubts about X (formerly Twitter) indiscriminately applying “Paid Partnership” disclosure labels to cryptocurrency-related posts, particularly those concerning XRP. Through his account, Schwartz publicly questioned the criteria behind such labeling and raised concerns about how X’s algorithm is being operated.
The controversy began when informational posts and simple opinions about XRP written by ordinary users were automatically marked with wording implying they were advertisements. While X has strengthened system filtering to prevent crypto scams and excessive speculation, the inclusion of ordinary posts that are not paid advertisements has sparked backlash from the community. “X’s system is failing to properly distinguish between regular communication and advertising,” Schwartz said, voicing concern over growing user confusion.
Industry experts suggest that X’s measures may be a preemptive defensive response to pressure from regulators, including the U.S. Securities and Exchange Commission (SEC). As calls grow for greater transparency in cryptocurrency promotional posts, X appears to have introduced an automated disclosure system through its algorithm. However, among XRP investors, controversy is spreading over whether stricter standards are being applied specifically to certain assets.
Schwartz emphasized that X’s management or technical team should present clear guidelines and warned that freedom of expression could be undermined. He pointed out that many posts labeled as paid partnerships were actually written without any compensation, criticizing the algorithm’s lack of precision. Ripple is reportedly monitoring the situation closely, viewing the issue as one that goes beyond individual post labeling and could potentially affect the reputation of cryptocurrency projects.
This situation highlights the growing pains social media platforms face as they coexist with the cryptocurrency ecosystem. While the intention of ensuring transparent information disclosure is positive, poorly calibrated system operations may hinder healthy information sharing and deepen market distrust. The XRP community is closely watching X’s follow-up measures and potential algorithm adjustments, calling for fairness in cryptocurrency promotion policies.
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