Italian financial regulator red flags EuroXTradeFX, StormInvest

abdelaziz Fathi

The Italian financial regulator, Consob, has taken action to block access to a number of investment websites, including those that hold licenses in other jurisdictions. This is part of an ongoing effort to protect Italian investors from potentially fraudulent or unauthorized investment schemes.

Italy’s proactive stance has been already serving as a model for other countries grappling with similar regulatory challenges, given the global nature of digital assets and online trading.

The watchdog added four new domains to its register of banned internet sources for illegally promoting trading products in the country. Specifically, Italian investors have been warned not to take out any financial services from the companies have been incorporated in the latest round of blackouts. This included “Bitblanco” (website www.bitblanco.co and related page https://webtrader.bitblanco.co); “” (website https://storminvest.io); Cryptogo365 Ltd (website https://cryptogo365.com); “TCRinvest” (website https://tcrinvest.com and related page https://trading.tcrinvest.com); and “EuroXTradeFX” (website www.euroxtradefx.com).

The action has been supported by the ‘Decreto Crescita’ law allowing CONSOB to obstruct Italian investors’ access to online brokers. The regulators took similar action throughout the past few years, ordering nearly 1000 domains to be blocked.

This decree allows Consob to order Italian internet service providers (ISPs) to block websites operating illegally in the region. However, due to technical reasons, there can be a delay of several days before the black-out of these websites takes effect, especially if the websites temporarily shut down.

The websites that have been blacklisted by Consob offer trading in forex and CFDs, but the regulator has noted that some of these sites also deal with crypto assets, including both the underlying cryptocurrencies and related derivatives such as CFDs. This confirms that Consob is concerned about the potential risks and regulatory issues associated with crypto trading and wants to ensure that these platforms are in compliance with Italian financial regulations.

Earlier in July, Italy’s antitrust authority has fined the Israeli trading and multi-asset brokerage company eToro €1.3 million for misleading consumers about the true costs of its stock trading offering.

The Italian Competition Authority, AGCM, specifically accused eToro of promoting its stock trading platform as a zero-fee service. However, the social investment network failed to adequately inform users about costs associated with exchange rates and restrictions on transferring portfolios to other brokerage firms.

  • Read this next

    Fundamental Analysis

    Global FX Market Summary: EUR, Fed Minutes February 21, 2024

    Hawkish Fed minutes could strengthen USD, dovish BoE hints could boost euro, mixed economic data leaves impact unclear, FOMC minutes release today holds the most weight.

    Digital Assets

    360T launches Crypto NDF offering

    “By launching our crypto offering with non-deliverable derivatives products, we are allowing our diverse, global client base to engage with the crypto market without the need to build or invest in Distributed Ledger Technology (DLT) infrastructure. Looking ahead, we will continue to work with our industry partners to expand 360T’s crypto.”

    Technical Analysis

    FTSE 100 index Technical Analysis Report 20 February, 2024

    The FTSE 100 index is likely to fall to support level 7600.00 after reversing from resistance level 7750.00.

    Retail FX

    Afterprime enhances trade reporting with PrimeXM and TRAction

    “This collaboration has made setting up EMIR and MIFIR reporting for our CySEC entity a breeze, allowing us to maintain our focus on providing best-in-class pricing and top-notch customer service.”

    Market News

    US Market Stocks See a Dip Ahead of FOMC Minutes Announcement

    As the financial world eagerly awaits the release of the Federal Open Market Committee (FOMC) meeting minutes scheduled for today, the S&P 500 index begins trading slightly lower, marking a subtle shift in market sentiment following a prolonged rally.

    Fintech

    Adaptive proves that “the future of finance is in the cloud”

    “While workloads have migrated to the cloud over the past decade, some have doubted whether its latency and fault tolerance can match that of on-premises solutions – our joint testing on Google Cloud, proves that this is the case.”

    Retail FX

    Axi Select offers live trading amid “end of demo account prop firm model”

    “We genuinely empathize with the thousands of talented traders who will now be denied access to their allocated funds, and we encourage anyone using the demo trading registration model to question whether their prop firm partner will be able to continue as an ongoing concern given recent events. Unfortunately, this could be the beginning of the end for the demo account prop firm model.”

    Digital Assets

    Celsius founder Mashinsky agrees to shared lawyers with Sam Bankman-Fried

    Former Celsius CEO Alex Mashinsky has addressed potential conflicts of interest in his legal representation during a brief hearing in a New York courtroom.

    Digital Assets

    Sam Bankman-Fried captured in first jail photo

    Sam Bankman-Fried, the once-billionaire founder of FTX, has been spotted looking quite different with a new beard and a slimmer figure in a photo that’s been making rounds, reportedly taken inside New York’s Metropolitan Detention Centre.

    <