Cambridge Analytica Planned ICO Before Facebook Controversy: Reports

Cambridge Analytica reportedly planned to launch its own cryptocurrency before the controversy over its misuse of facebook data.

AccessTimeIconApr 18, 2018 at 10:45 a.m. UTC
Updated Sep 13, 2021 at 7:50 a.m. UTC

Cambridge Analytica, the firm that faced much criticism over its misuse of Facebook user data, had reportedly planned to organize its own initial coin offering (ICO) before the news broke.

According to a Reuters report citing anonymous sources on Thursday, Cambridge Analytica was originally expecting to raise around $30 million via the launch of its own cryptocurrency and had reached out to a firm that advises on how to structure such schemes.

While it remains unclear at the moment whether the ICO will go ahead after the Facebook controversy, the company told Reuters that it currently has plans to develop a blockchain platform that would give users control of their own information.

Another article from the New York Times indicates that the firm's ICO plan started in mid-2017 with the aim of building a system that would secure users' personal data so it could be sold to advertisers.

"Who knows more about the usage of personal data than Cambridge Analytica?” Brittany Kaiser, a former employee of the firm, was quoted as saying. “So why not build a platform that reconstructs the way that works?”

The reports come as the firm is under international scrutiny over the way it acquired data on possibly as many as 87 million Facebook users. Cambridge Analytica was hired by President Donald Trump's campaign prior to the 2016 election and was also involved in the "leave" campaign of the British Brexit referendum in 2016.

Data network image via Shutterstock

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
CoinDesk - Unknown
Three Arrows Paper Trail Leads to Trading Desk Obscured Via Offshore Entities

As Three Arrows Capital collapsed under market pressure, its much-lesser known trading desk, TPS Capital, remained active, sources say. But a complex ownership structure might frustrate creditors' efforts to collect.

CoinDesk - Unknown
2
CoinDesk - Unknown
June Was Bitcoin’s Worst Month Ever

Plus, European crypto regulation comes into view.

CoinDesk - Unknown
3
CoinDesk - Unknown
What Traders Are Saying About Bitcoin's Biggest Monthly Loss in 11 Years

Poor macroeconomic sentiment, fears of inflation and systemic risks from the crypto market pushed the cryptocurrency below 2017’s highs.

CoinDesk - Unknown
4
CoinDesk - Unknown
Three Arrows Capital Files for Bankruptcy in New York Tied to British Virgin Islands Proceeding

A British Virgin Islands court ordered Three Arrows' BVI branch into liquidation earlier this week.

CoinDesk - Unknown