Markets
Italy to increase crypto market surveillance with fines of up to 5 million euros: Reuters
Italy prepares to adopt measures This will include steep fines for those manipulating the crypto asset market as part of a broader agenda to strengthen oversight of risks related 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 says.
European Union countries are preparing to implement the bloc’s regulatory framework for the sector, known as Crypto Asset Markets (MiCA). Part of this process is deciding which local regulators will help oversee crypto – called national competent authorities (NCAs).
The Reuters report said the draft decree names Italy’s central bank and market watchdog, Consob, as the competent authorities.
Italy has been preparing to follow this framework for some time, with the central bank governor adds warning that it does so despite a survey showing that only about 2% of Italian households held “modest amounts, on average” of crypto and that Italian intermediaries’ exposure to the market was also very limited.
Italy implemented a registration requirement for crypto companies operating in the country, but approved 73 companies as virtual currency service providers without carrying out proper controls to ensure their security for investors, CoinDesk previously reported.
Optimism towards cryptocurrency in Italy has been reflected in initiatives such as that of Conio, a cryptocurrency holding company, which teams up with Coinbase (COIN) to bring digital assets to Italian banks and financial institutions.