Italy Launches Comprehensive Review of Crypto Investor Safeguards Amid Rising Risks

Italian regulators have initiated a full-scale assessment of cryptocurrency protections for retail investors, citing escalating risks in the volatile digital asset market. The Committee for Macroprudential Policies—comprising the Bank of Italy, Consob, and Treasury officials—announced the review during a meeting to evaluate existing safeguards for direct and indirect crypto investments.

The move coincides with Europol's dismantling of a €700 million international crypto fraud network. Investigators uncovered a sophisticated operation using fake investment platforms that lured victims with promises of high returns, only to siphon funds through layered blockchain transactions. Authorities conducted raids across Cyprus, Germany, and Spain in late October as part of the crackdown.

While Italy's economic conditions remain stable, regulators emphasized persistent global uncertainties affecting crypto markets. The dual developments highlight growing institutional scrutiny of cryptocurrency risks alongside expanding enforcement against cross-border fraud schemes.