Leaked confidential documents allow Meta to earn $16 billion from fraudulent advertising.
A series of recently leaked internal documents has revealed that Facebook (now Meta) may have earned billions of dollars from fraudulent ads and banned products, despite close scrutiny from the community.
According to reports from Reuters and eMarketer, internal Meta documents reveal that the company earned up to 10% of its annual revenue (approximately $16 billion in 2024) from fraudulent advertisements and banned products.
Every day, an estimated 15 billion high-risk advertisements are delivered to users, including cryptocurrency investment scams, illegal online casinos, and prohibited products.
Based on internal Meta documents cited by Reuters and other sources:
10% of 2024 Revenue: According to Meta's projections, 10% of advertising revenue in 2024 will come from fraudulent advertising and prohibited goods. This figure is estimated at approximately $16 billion.
$7 billion from "high-risk" advertising: Of the total $16 billion, approximately $7 billion came from advertisements classified as having "higher legal risk".
15 billion fraudulent ads per day: In December 2024, Meta estimated that approximately 15 billion ads classified as "higher risk" were delivered to users on Facebook, Instagram, and WhatsApp every day.
One-third of all successful scams in the US: Internal documents from a Meta security team presentation in May 2025 reveal that their platforms were involved in approximately one-third of all successful consumer scams in the US.
Suspicious advertising handling mechanism: Meta only bans advertisers when its automated system assesses the likelihood of fraud as 95% or higher. For cases with lower risk but still suspected of fraud, Meta applies higher advertising fees as a penalty, rather than a complete ban, thus still profiting from these suspicious activities.
Leaked documents also reveal that Meta's advertising algorithm appears to have been optimized to prioritize profit over user safety.
Specifically, when a user clicks on a fraudulent ad, the system continues to display more similar ads, based on an ad personalization mechanism. This creates a dangerous vicious cycle, pushing vulnerable users deeper into scam traps.
Jordan Qato, a marketer, pointed out on Facebook that the platform's algorithm is designed to favor scammers willing to pay higher prices.
According to Qato, if a small business spends $500 on advertising while a scammer is willing to pay $50,000 to trick people into investing in cryptocurrency, the scammer and Meta will always be the winners.
In response to these allegations, Meta denied the documents and called the figures "overly comprehensive," while stating that it is actively fighting fraud.
However, investigators and experts argue that Meta lacked proactiveness in preventing deceptive advertising from the outset. Although Meta has announced new tools to help advertisers avoid harmful content, many remain skeptical about the company's true motives.
The consequences of Meta prioritizing profits from fraudulent advertising are enormous. Scams impersonating celebrities or reputable businesses, along with fictitious cryptocurrency investment programs, have caused many users to lose billions of Vietnamese dong.
Regulatory bodies in the US and UK have also launched investigations into Meta's role in financial fraud cases.
Experts and watchdog organizations like Which? have criticized both Facebook and Google for failing to act effectively after users reported fraudulent ads.
This highlights the need for stricter regulations on online advertising platforms to protect users, rather than leaving them vulnerable to fraudsters and algorithms designed to maximize profits.
