CurveBlock
Under the Financial Services and Markets Act 2000 (FSMA) a “financial promotion” may only be communicated by an authorised person or with the approval of an authorised person. That statutory rule applies equally to offers of fractional property interests whether those interests are described as shares, tokens or rights under fund documentation. Firms using digital channels must therefore ensure that any promotional message has the necessary authorisation and that the approver has reviewed content for compliance.
Regulatory expectations focus on communications being clear, fair and not misleading. For retail-facing offers this typically means presenting key risks (capital loss, illiquidity, valuation uncertainty), fees and ongoing charges up front, and avoiding selective performance claims. The FCA’s broader approach to consumer protection also expects firms to consider the target market and to avoid mass-market communications where a product is unsuitable for most retail consumers.
Social media, influencers and aggregator channels do not create exemptions. Firms remain responsible for third‑party promotional activity they commission or approve; approval processes and recordkeeping should capture digital content, links, and screenshots. Platforms should also ensure that post‑distribution monitoring captures complaints, consumer queries and any amplification that might change the original message’s risk profile.
For retail savers considering fractional digital shares in property or renewables, understanding financial promotions rules helps identify whether an offer has been properly authorised and whether communications give a balanced picture of risks and rights. Clear, compliant disclosures are a practical indicator of regulatory alignment but are not a substitute for due diligence on the underlying assets.