The Digital Advertising Alliance (“DAA”) has approved TRUSTe’s user privacy tool, known as “Trusted Ads,” to serve as one of the behavioral advertising icons that will indicate when ads are being presented based on data collected from consumers.

The DAA has already endorsed providers Evidon and DoubleVerify. Using the technology, companies can tag ads with the icon, which provides details about online ads and ad networks and the ability to opt out of some or all online tracking when clicked on by a consumer.

“We’re pretty confident that companies are going to be pleased with the overall consumer experience,” said Fran Maier, president of TRUSTe. “We expect that few consumers will actually opt out, but it will give the companies the opportunity to express the kind of transparency and choices available to consumers.”

In addition, other marketers and compliance companies recently announced that they will begin using the new icons. DoubleVerify said it is working with advertisers including Hyundai, Kia, and Qantas. Collective announced it has partnered with Evidon and that members of its network – like the AARP and – will use ads with the icon.

In other behavioral advertising and privacy news, the Federal Trade Commission granted a request from the DAA to extend the deadline for comments on the agency’s privacy report. The agency issued a preliminary report, “Protecting Consumer Privacy in an Era of Rapid Change: A Proposed Framework for Businesses and Policy Makers,” on December 1, 2010.

Originally scheduled to end January 31, the FTC said it would accept comments until February 18 “to encourage full participation by all stakeholders.” The DAA and other industry groups had asked for the extension, saying they needed more time to evaluate the FTC’s report. “Additional time will allow business to evaluate the potential impact on the proposals to important business operations and critical services to consumers,” DAA counsel Stuart Ingis wrote in his request.

To date, the FTC has received more than 200 comments on its report.

For a detailed analysis of the report, click here.

To read the comments on the FTC’s privacy report received by the agency to date, click here.

Why it matters: The FTC is expected to issue its final report later this year, and privacy remains a hot topic in Washington. The Senate Commerce, Science and Transportation Committee is set to hold hearings on online privacy in February. In the meantime, the industry’s push for self-regulation continues, with additional marketers and compliance companies joining the movement.