Will an embedded form 2.0 with hidden fields still accept data via URL parameters?

Yes it works, i created a hidden field in the form and passed a utm paramter via url "utm_campaign=adwords". Also because i did not want the existing fields in Marketo to get affected i had created a custom field intially for testing.

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SOLVED

Embedded forms and hidden fields

There is no need to use standard UTM parameters (which are Google-linked, even if people treat them as generic).

Embedded forms and hidden fields

Re: Embedded forms and hidden fields