Ghulam Rehman

How Scam Ads Broke Consumer Trust on Social Media — and What the SCAM Act Aims to Fix. AI-Generated.

A new bipartisan bill, known as the SCAM Act, has been introduced by US senators to force social media companies to verify advertisers and curb scam advertising. Online advertising has become the financial backbone of social media platforms, but it has also evolved into a powerful channel for fraud. From fake investment schemes to impersonation scams, deceptive ads routinely reach millions of users before platforms act — if they act at all. The newly introduced SCAM Act represents one of the most direct legislative attempts yet to change that dynamic by shifting responsibility squarely onto the platforms that profit from these ads.