Overview
- The CNMV’s resolution, published in Spain’s official gazette, imposes a €5 million penalty on X for a continued very serious breach tied to financial advertising rules.
- Regulators found X failed to verify whether Quantum AI was authorized and whether it appeared on warned-entity lists, and the platform did not properly comply with a formal request sent on November 8, 2023.
- The case centers on paid promotions from December 2023 linked to Quantum AI that reportedly mimicked news posts and used celebrity images to tout unrealistic returns.
- The decision is administratively final, though X can still seek judicial review before Spain’s Audiencia Nacional.
- The CNMV frames the action as part of a broader effort to curb ads from unlicensed investment schemes, noting cooperation from Google and Meta and past denouncements of X and TikTok; the fine ranks among the regulator’s largest on record.