It outlines the following:

• The Bank of Italy is the competent authority for prudential supervision of electronic money token (EMT) and asset-referenced token (ART) issuers and cryptoasset service providers (CASPs). With respect to CASPs, the Bank of Italy is also the supervisory authority in respect of anti-money laundering/counter-terrorism financing (AML/CTF).
• The Italian financial market authority, CONSOB (Commissione Nazionale per le Società e la Borsa), is  the competent authority for overseeing cryptoassets other than EMTs and ARTs and for transparency, fair conduct, orderly trading and protection of customers in relation to ARTs and cryptoasset services. It also has supervisory powers in relation to the prevention and prohibition of market abuse involving cryptoassets.
• A transitional regime from the current domestic virtual asset service provider

VASPs currently operating in Italy and enrolled in the Organismo per la gestione degli Elenchi degli Agenti in attività finanziaria e dei Mediatori creditizi (OAM) register should take into account the transitional regime provided by the MiCAR Italian Decree and take the necessary steps to apply for a CASP licence (either in Italy or in another EU member state) by 30 June 2025.

See our article for more on this development.

For more information, see our article on this update here.

The public consultations, available here and here (in Italian only), will be open until 22 March 2024.

See also: Crypto news: Italy launches two public consultations on draft decrees on MICAR and TFR

“Today’s announcement of co‑ordinated international action on cryptoassets is a major step forward, marking another important milestone towards the widespread and co-ordinated approach to combat tax evasion through greater transparency and exchange of information,” Secretary-General Cormann said.

“We strongly welcome the extensive support being shown for quick action to make the international exchange of information collected under the OECD standard on cryptoasset reporting a reality. The international community can count on the OECD and the Global Forum on Transparency and Exchange of Information for Tax Purposes to ensure that the tax transparency architecture remains both up-to-date and effective going forward.”

The Crypto-Asset Reporting Framework (CARF) is a key component of the International Standards for Automatic Exchange of Information in Tax Matters developed by the OECD under a G20 mandate. It provides for the automatic exchange of tax-relevant information on cryptoassets and comes against the backdrop of a rapid adoption of the use of cryptoassets for a wide range of investment and financial uses.

The analysis is used to provide preliminary policy considerations from a financial stability perspective.

The paper highlights the importance of "establishing a clear perimeter for financial regulation and of developing global rules to address financial stability risks in the areas covered by financial regulation in accordance with the 'same risk, same regulatory outcome' principle". 

The statement tells audit firms and statutory auditors to conduct, in compliance with the requirements of the standard on internal quality control (ISQC Italia 1), an "appropriate risk assessment before accepting an engagement with a new client and when deciding whether to continue an existing audit engagement, or other assurance engagements and related services, relating to companies - including their subsidiaries and parent companies - that manage exchange platforms and/or perform activities concerning issuance, brokerage, lending or deposit of cryptoassets and/or provide other services in this sector." 

CONSOB said that given the high money laundering risk associated with activities and services involving cryptoassets, audit firms and statutory auditors should "pay particular attention to the assessment of the money laundering risk which is inherent to audit, assurance and related services engagementsn with clients operating in this sector".

In case of high money laundering risk, audit firms and statutory auditors "must apply enhanced due diligence measures, performing, both at the time of the engagement acceptance and during the provision of services, more in-depth, accurate and/or frequent controls, including accounting tests, in order to detect any suspicious money laundering activities."