Markets
Italy will increase surveillance of crypto market with fines of up to 5 million euros: Reuters
Italy is prepared to adopt measures This will include steep fines for those who manipulate the cryptocurrency market as part of a broader scheme to strengthen surveillance of risks linked to the sector, Reuters reported, citing a draft decree it reviewed.
The document is expected to be approved by the cabinet later today and will include fines of between 5,000 euros ($5,400) and 5 million euros for insider trading, illegal disclosure of inside information or market manipulation, the report states.
European Union countries are preparing to implement the bloc’s regulatory framework for the sector, known as Markets in Crypto Assets (MiCA). Part of this process is deciding which local regulators will help oversee crypto – known as National Competent Authorities (NCA).
The Reuters report said the draft decree designates Italy’s central bank and market watchdog, Consob, as the relevant authorities.
Italy has been preparing to follow the framework for some time now, with the central bank governor adding the caveat which is doing so despite a survey showing that only around 2% of Italian households held “modest amounts on average” of crypto and that Italian intermediaries’ exposure to the market was also very limited.
Italy has established a mandatory registration requirement for crypto companies operating in the country, but approved 73 companies as providers of virtual currency services without carrying out adequate checks to ensure they are safe for investors, CoinDesk previously reported.
Optimism regarding cryptocurrencies in Italy has been reflected in stocks such as Conio, a cryptocurrency wallet company, which joined Coinbase (COIN) to bring digital assets to Italian banks and financial institutions.