FTC to zap fake gov websites and scam social media clones
Published Date: 10/1/2026
Proposed Rule
Summary
The FTC is planning new rules to stop scams where fake websites or social media accounts pretend to be the government or real businesses to trick people out of money. This affects online platforms like search engines and social media sites, which may have to change how they handle these impersonation scams. The FTC wants your thoughts by November 30, 2026, before making any final decisions.
Analyzed Economic Effects
3 provisions identified: 2 benefits, 1 costs, 0 mixed.
Platforms May Be Forced to Internalize Fraud Costs
The FTC is considering a rule that could require digital platforms (search engines, social media, and other marketplaces) to internalize the costs of optimizing and delivering fraudulent impersonation ads. The ANPRM specifically contemplates targeting ad-optimization tools and services used by platforms to create, target, and deliver scam ads.
FTC Proposes Rules to Curb Scam Impersonation Ads
The FTC is asking for public comment by November 30, 2026, on starting a rulemaking to stop search engines, social media, and other online marketplaces from furthering government and business impersonation scams that defraud consumers. The proposal aims to target platform ad-optimization practices that help scammers; in 2025 consumers reported $3.5 billion in losses to imposter scams and nearly $2.1 billion in losses to scams that started on social media.
FTC May Treat Some Platform Ad Tools as Outside Section 230
The FTC states that section 230 immunity does not automatically block enforcement: platform conduct that materially contributes to unlawful content or that recommends/curates third-party content may fall outside Section 230 protection. If the Commission finds such conduct outside Section 230, it could bring section 5 unfair-or-deceptive claims against platforms for ad practices that further impersonation scams.
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Key Dates
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