Italy | Crypto

Italy’s markets regulator sets firm MiCA deadlines, forcing VASPs to seek authorization or exit by Dec. 30, and urges investors to check providers’ compliance plans. Italy’s securities regulator set a firm timetable for applying the European Union’s Markets in Crypto-Assets Regulation (MiCA) in the country, warning that unlicensed crypto platforms face a deadline to either seek authorization or leave the market. The move directly affects virtual asset service providers (VASPs) currently operating under Italy’s regime and the retail investors who use them.​ In a news release published Thursday, Italy’s Commissione Nazionale per le Società e la Borsa (CONSOB) reminded the market that Dec. 30 is the last day VASPs registered with the Organismo Agenti e Mediatori (OAM) can operate under the existing national framework. Read more

The Bank of Italy's vice director warned that multi-issuance stablecoins pose risks to EU financial stability and should be restricted to equivalent regulatory jurisdictions. A senior Bank of Italy official warned that stablecoins issued by multiple entities across different countries pose significant risks to the European Union’s financial system unless they are strictly limited to jurisdictions with equivalent regulatory standards. Speaking at the Economics of Payments Conference in Rome on Thursday, Chiara Scotti, vice director of the Bank of Italy, said multi-issuance stablecoins — digital tokens issued in several countries under a single brand — may increase liquidity but also bring “considerable legal, operational, liquidity and financial stability risks” if at least one issuer is outside the EU. “Although this architecture could enhance global liquidity and scalability, it poses significant legal, operational, liquidity and financial stability risks at EU level, particularly if at least one issuer is l...

The Bank of Italy has cautioned that deeper integration between crypto-assets and traditional finance could transmit price shocks to the wider economy. Governor Fabio Panetta has promoted Europe’s MiCA regime and tougher oversight of stablecoins to safeguard payments, data, and monetary sovereignty. The post Crypto-Assets and Financial Stability: The Bank of Italy’s Call for Caution appeared first on Cryptonews.

MiCA has had a limited impact on the adoption of compliant stablecoins in Europe, strengthening the need for the digital euro, Bank of Italy Governor Fabio Panetta said. Former European Central Bank (ECB) official and Governor of the Bank of Italy, Fabio Panetta, touted the digital euro as a key tool for controlling the risks of increasing cryptocurrency adoption. The Bank of Italy, on May 30, released an annual report with the governor’s concluding remarks on the state of the economy. Panetta said the European Union must move forward with the central bank digital currency (CBDC) project to maintain financial stability and meet demand for secure digital payments. “We would be remiss to think that the evolution of crypto-assets can be controlled only through rules and restrictions,” Panetta said, warning that crypto regulation alone cannot address the systemic risks posed by crypto, and that the digital euro would be key to addressing them. Read more