Italy’s CONSOB warns against Binance
Italy’s Companies and Exchange Commission (CONSOB) today added its voice to the chorus of warnings regarding cryptocurrency firm Binance.
Consob warns that the companies of the “Binance Group” are not authorized to provide investment services and activities in Italy, not even through the website www.binance.com whose sections called “derivatives” and “Stock Token”, relating to instruments related to crypto-assets, were previously also written in Italian.
Furthermore, 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 and 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 cyber attacks to which the IT infrastructures used for such operations may be subjected.
Let’s recall that, in June 2021, the UK Financial Conduct Authority (FCA) announced the imposition of requirements on Binance Markets Limited. The entity is not currently permitted to undertake any regulated activities without the prior written consent of the FCA.
No other entity in the Binance Group holds any form of UK authorisation, registration or licence to conduct regulated activity in the UK, the FCA says.