The Italian financial regulator strongly warned against two unlicensed cryptocurrency firms, which are involved in schemes to motivate crypto investors to mine or invest in digital currencies. The financial regulator began collecting information about these two platforms after getting several complaints related to them. A One Richmond Investing, an FX broker, also didn't survive being blacklisted by La Commissione Nazionale per le società e la Borsa (CONSOB). CONSOB's key activity is safeguarding the investing public.
The Italian watchdog has made it clear, in an official release, that the firms in question don't possess any valid or pertinent license of any form. It revealed that Richmond Investing, Crypton Ltd, and Eagle Bit Trade were not permitted to promote its advertised items. Alessandro Brizzi was representing Crypto force Ltd for 3 months.
The CONSOB stressed that Richmond Investing was claiming to offer investment services for multi-assets and promising investors massive profits in the short run.
This official warning is another important case in which Italian authorities appear to have tightened their stockings and have started hunting illicit crypto providers. Like some other European authorities that have tried to control the cryptocurrency operations and the industry at large, the Italian financial regulator has also decided to follow the same track. It also plans to stem the flow of all unregulated and non-compliant firms.
Nevertheless, Italy has permitted banks to deal in cryptos, but they will first wait for formal and proper regulations to be put in place. Significant complexities may emerge if at all Italy's position becomes not similar that of the EU or that of the member states.
Furthermore, the Italian financial regulator has issued a warning that is against a long list of financial entities listed as major trading scams by other financial watchdogs in Europe. This is the reason why CONSOB advised Italian crypto investors to properly check its registers before depositing any amount of funds with a broker, particularly when the broker used unjustly marketing methods.
Additionally, Coinidol reported in late June 2018, that the AML4 (Directive 2015/859 UE) law with new rules on BTC traders, was put in place in Italy. The EU Parliament hasn't legally approved the modification made in this law.