Ever wondered how ads coming in Facebook application have display pictures and other data from your friend list.
Actually Facebook by default allows third party advertisers to use your friend’s or your data like display picture etc. If you don’t wish that third party advertisers access the data you can opt-out from settings.
Read what Facebook has written:
Facebook occasionally pairs advertisements with relevant social actions from a user’s friends to create Facebook Ads. Facebook Ads make advertisements more interesting and more tailored to you and your friends. These respect all privacy rules. You may opt out of appearing in your friends’ Facebook Ads below.
You can opt-out using this detailed path:
Settings –> Privacy Settings –> News Feed and Wall –> Facebook Ads
Appearance in Facebook Ads : Select ‘No One’ from dropdown box, Save Changes
Thanks to Vishal Bhatt for letting me know.