New laws will be passed to deal with misleading crypto-asset promotions, the Treasury has announced.
Although 2.3 million people in the UK own a crypto-asset, the government is worried some consumers may not understand what they are buying.
Crypto-assets such as Bitcoin are largely unregulated and investors lack many protections.
The same is true of non-fungible tokens - but these will not be covered by the new rules.
The government plans to legislate so "qualifying crypto-assets" will be subject to Financial Conduct Authority (FCA) rules in the same way as other financial promotions, such as for stocks, shares, and insurance products.
A 2018 report by the Crypto-assets Taskforce - which includes the Treasury, Bank of England and FCA - found crypto advertising could often overstate benefits and rarely warned of the risk consumers could lose their investment.
Later work by the FCA suggested public understanding of crypto-assets was declining even as more people invested.
Chancellor Rishi Sunak said the new rules would ensure consumers are protected, "while also supporting innovation of the crypto-asset market".
"Crypto-assets can provide exciting new opportunities, offering people new ways to transact and invest - but it's important that consumers are not being sold products with misleading claims" he said.
The government says it is still drafting a definition of the crypto-assets that will fall under the new rules.
But it will not include non-fungible tokens.
NFT's are often used as a form of digital receipt as well as a way of trading digital art or "collectibles".
Some of the most valuable trade for millions of pounds.
And the government acknowledged many were traded as a type of financial speculation.
But it said: "New types of non-fungible tokens have emerged which blur the boundary between financial-services products and digital collector items."
And it was "not the the government's intention to apply financial-promotions regulation to non-financial products".
However, the Treasury said it would closely monitor the situation.
The FCA is not the only watchdog concerned about crypto advertisements.
The Advertising Standards Authority says monitoring crypto-assets such as Bitcoin is a "red-alert priority", following concerns many ads fail to fully convey the risks of investing.
It has banned numerous promotions for crypto-assets, including from and a , and is working towards new guidelines for advertisers.
Internationally, regulators are also taking action.
The Spanish National Securities Market Commission has announced new rules for advertising crypto-assets, including promotions by social-media influencers, Reuters reports.