Binance not authorized to offer its services in Italy, securities watchdog warns

By Staff Reporter

July 16, 2021

The Italian securities regulator became the latest global watchdog to warn its citizens of investing in crypto assets offered by Binance, purportedly the world’s largest crypto exchange by volume, according to a statement.

It said that “the companies of the “Binance Group” are not authorized to provide investment services and activities in Italy, not even through the website whose sections called “derivatives” and “Stock Token”, relating to instruments related to crypto-assets, were previously also written in Italian.

Commissione Nazionale per le Società e la Borsa (Consob) warned investors to make their choices in “full awareness, verifying in advance that the websites through which they make the investment an be attributed to authorized subjects.”

It further added that the savers are “invited to adopt the utmost caution in making transactions on instruments related to crypto-assets, for this may imply the total loss of the sums of money invested.”

It is recommended to savers to always follow the general rule of considering the signing of contractual proposals only when they have an adequate understanding and only when they are assisted by clear and complete information also on the identity of the contractual counterparty who may propose himself as a service provider.”

In any case, it is important that savers are informed that transactions in instruments related to crypto-assets may present risks that are not immediately perceptible, due to their complexity, the high volatility of the prices of these instruments as well as for malfunctions and cyberattacks to which the IT infrastructures used for such operations may be subjected.

Binance is in trouble with regulators in several countries, including the United StatesJapanthe UK and, most recently, the Cayman Islands.

Meanwhile, Binance founder and boss CZ Chang said that “compliance is a work in progress” and that it is doing best to follow and comply with regulations.

Image courtesy: PxHere

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