Despite Facebook's efforts to make political ad funding more transparent, loopholes enable ad buyers to remain relatively anonymous.
Facebook announced in May a new tool to promote political advertising transparency on the site. But a series of news stories over the past few weeks reveal that political advertisers are exploiting loopholes in Facebook's system to obscure the source of their funding.
Late last month, The Daily Beast identified a digital media start-up that created a limited liability company (LLC) to buy political advertising. The Atlantic reported Wednesday that the LLC bought somewhere between $1.2 million and $4.6 million of political advertising over about five months. But the name of the start-up, reportedly backed by LinkedIn co-founder and Executive Chairman Reid Hoffman, never showed up in the political ad archive because the ads were paid for by the LLC it owned.