Italy’s Ministry of Economy has ordered a comprehensive review of existing safeguards against risks associated with cryptocurrencies, focusing particularly on protecting retail investors’ direct and indirect investments in crypto assets. This decision was made during a meeting of the Macroprudential Policies Committee, which included representatives from the Bank of Italy, the market regulator CONSOB, insurance and pension regulators, and the Treasury’s Director General. Committee members warned that risks related to crypto assets could increase as connections between crypto and the broader financial system deepen, and inconsistencies in international regulations may exacerbate financial system vulnerabilities. While Italy’s economic and financial condition remains generally stable, global uncertainties pose challenges to financial stability. The review aims to assess the effectiveness of current regulations and strengthen protections for investors and the financial system. In recent years, Italy has intensified oversight of digital assets, expressing concerns about investor protection, market integrity, and potential impacts on the financial system. This review signals a more cautious approach toward cryptocurrency use in the country. Last year, Italy proposed raising the tax on crypto trades from 26% to 42%, but after opposition from the crypto industry, the rate was capped at 33%. Meanwhile, a Milan-based company introduced a new investment visa option, the “Bitcoin Dolce Visa,” allowing applicants to invest in Bitcoin-related businesses to obtain an investor visa. These measures are being implemented against the backdrop of Italy’s strong economic performance, rising exports, trade surplus, stable public debt, and steady stock market, making the country increasingly attractive to foreign investors.
Source: bitcoinmagazine
