Italy’s regulator blocks access to 977 FX, crypto domains

abdelaziz Fathi

Italy’s financial watchdog, Consob, has blocked access to six new websites offering financial services that are not authorized by the regulator. The move is aimed at protecting Italian investors from potential fraud and other risks associated with unregulated financial services providers.

The nation’s Commissione Nazionale per le Società e la Borsa (CONSOB) has recently ordered that ISPs block four offshore websites that are operating illegally in the country as the move helps in the fight against unauthorized providers.

Fraudsters could pass themselves off as regulated financial services providers as a result of the ability to register domain names under relevant suffixes such as ‘.bank’ and ‘.fin’, Consob said.

The Italian market securities market regulator has been on a rampant crackdown to protect retail investors by making illegal financial services inaccessible. Additionally, this includes product offers by firms holding licenses in other jurisdictions. The strict actions on these unauthorized actors in the market come as offshore brokers continue to chase online trading business in Italy.

As the battle between legal and unregulated trading rages on, Italian investors have been warned not to take out any financial services from:

– “BTX+” (website https://btxplus.io and related pages https://client.btxplus.io and https://webtrader.btxplus.io);

– “Tide Technologies Group” (website https://tidetechnologiesgroup.ltd);

– Fast-MNG EU Limited (website www.fast-mng.com);

– “Alfacapitalinvest” (website https://alfacapitalinvest.com and related page https://client.alfacapitalinvest.com);

– “Bitcoinup” e “UfinaCapital” (siti https://bitcoinup.io e https://ufinacapital.pro and page https://ufina.trade)

– Digital Trust CSP Fzco (website www.doublefinance.io).

A glimpse at the websites of the brokers added out by the Italian financial regulator shows a well-known tactic to attract inexperienced clients to trade highly leveraged products.

The number of sites blacked out since July 2019, when Consob got the power to ban the websites of financial intermediaries it deems unregulated, has risen to a whopping 977 offshore sites.

The regulator’s end goal is to eliminate unlicensed trading from Italy and ensure a healthy ecosystem for local investors. CONSOB uses a combination of AI-based search algorithms, investigations and customer reports to identify offshore operators.

The Italian regulator found new tools to address illegal operators in the market when the ‘Growth Decree’ extended its powers far beyond. Thanks to the decree, CONSOB can order Italian internet service providers (ISPs) to block websites in the region. Due to technical reasons, however, it can take several days for the black-out to come into effect when these websites shut for a temporary period.

  • Read this next

    Fintech

    Traxys taps Quantifi for risk management in commodities trading

    “We wanted to take a more sophisticated approach to risk management and have a consolidated view of risk exposures across our global operating model. Quantifi was our preferred choice as it has a track record of success in the commodities markets.”

    Digital Assets

    Startale Labs Secures Funding for Web3 Expansion

    Startale Labs, a leader in Japan’s Web3 development, including Astar Network and Startale Web3 Cloud, has raised an additional $3.5m from UOB Venture Management and Samsung Next. This seed extension round boosts their total seed funding to $7m, following a $3.5m investment from Sony Network Communications in June 2023.

    Retail FX

    XS.com acquires South African broker Ubutyebi Financial Services

    XS.com, the multi-regulated financial services provider, has made a strategic move to expand its presence in Africa by acquiring Ubutyebi Financial Services, a licensed Financial Service Provider (FSP) in South Africa regulated by the Financial Sector Conduct Authority (FSCA).

    Digital Assets

    Hong Kong advances legislation on stablecoins and crypto trading

    Hong Kong is moving forward with legislation to regulate stablecoins and crypto over-the-counter (OTC) trading in the latest effort to develop a legal framework to service the city’s digital-asset industry.

    Digital Assets

    Do Kwon to be extradited to US as South Korea request overturned

    Terraform Labs co-founder Do Kwon is set to be extradited to the United States to face fraud charges related to massive losses suffered by U.S. investors due to its algorithmic stablecoin collapse.

    Retail FX

    Prop firm Instant Funding pauses US accounts, citing ThinkMarkets ban

    Proprietary trading firm Instant Funding has become the latest retail platform to halt onboarding new US clients, citing a recent decision by their partner broker, ThinkMarkets.

    Retail FX

    Funded Trader and Alpha Capital switch to cTrader, Lark Funding to DXTrade

    Proprietary trading firms Lark Funding and Alpha Capital have both announced changes to their operations that mainly affect their business with US clients.

    Fintech

    Top 5 Most Reliable KYC Technology Providers

    The financial sector’s trade evolution has led to the emergence of several financial markets that provide excellent opportunities for wealth creation. However, it has also given rise to many fraudulent organisations that attempt to steal money from traders. KYC providers developed and offered KYC technology to combat criminal activity in the field of trading and investing.

    Crypto Insider

    Introducing the Inaugural CMC Crypto Awards by CoinMarketCap

    CoinMarketCap, a leading source for Crypto data and insights, is excited to introduce the inaugural CMC Crypto Awards. This virtual event, running from February 21st to March 6th, celebrates innovators and leaders who are making significant impacts in the Crypto and Web3 sectors.

    <