La Commissione nazionale per le società e la Borsa (CONSOB), an independent statutory body set up to help police Italy’s domestic securities and futures market, has updated its blacklist with another unlicensed FX brokerage firm called Capital Swiss FX.
The CONSOB warning list features the names of businesses that are unlicensed in Italy and which are also believed to have targeted local investors or made fraudulent claims to be associated with regulated entities.
The CFD broker Capital Swiss FX, operating through https://capitalswissfx.com/, was added to the Italian regulator’s warning list and CONSOB recommended that Italian investors avoid trading with this broker and its affiliates.
The Italian regulator also warned that the said broker offers cryptocurrency trading services without having the proper permissions. It follows in the footsteps of other authorities in Europe which have recently taken serious steps to curtail crypto activities and stem the flow of unregulated and non-compliant companies.
Staying Ahead: How Brokers Are Approaching 2020Go to article >>
Europe Weighs Regulation
However, Italy has allowed financial institutions to deal in virtual currencies, just that they are advised to wait until formal regulations are announced. Potential complications may arise if Italy’s stance becomes incongruous with that of the broader European Union (EU) or other member states.
As the public authority responsible for regulating the Italian financial markets, CONSOB’s main activity is protecting the investing public.
Finally, the Italian watchdog has published a warning against a list of financial entities that have been listed as trading scams by other European financial regulators. This is why CONSOB advises Italian investors to check its registers before they deposit any funds with a broker, especially if the related broker used aggressive marketing techniques.
Echoing previous warnings, however, the CONSOB ignores that unauthorized brokers continue to promote unregulated investments, taking money from the general public, and the regulator is powerless to do anything.