The Federal Trade Commission announced on September 24, 2026, that it is considering whether to update its Rule on Impersonation of Government and Businesses. The agency issued an advance notice of proposed rulemaking to examine how online platforms and their ad-optimization practices may be furthering impersonation scams. Consumers reported nearly $3.5 billion in losses to impersonation fraud in 2025 across more than one million reports, prompting regulators to seek public input on platform accountability.
How do digital platforms impact impersonation scams?
Regulators noted that nearly 30 percent of consumers who lost money to scammers in 2025 were first contacted on social media platforms, with total losses reaching $2.1 billion. The agency is examining whether search engines, social media, and digital marketplaces use advertising tools that inadvertently amplify fraudulent offers and profit from deceptive campaigns.
What measures are proposed to prevent online fraud?
The commission is asking the public whether it should require online platforms to vet advertisers, monitor posted content, and take concrete steps to prevent impersonation ads from reaching users. The public comment period will remain open for 60 days following publication in the Federal Register after the commission voted 2-0 to advance the notice.
