- Crypto firms must secure MiCAR approval or exit Italy under Consob’s mandate.
- MiCAR brings stricter oversight, raising standards for custody, trading, and transparency.
- VASPs must apply by Dec. 30 or shut down, ensuring stronger protection for investors.
Italy’s market watchdog has intensified pressure on Crypto service providers as the MiCAR deadline approaches. Consob told firms to secure authorization under the EU’s Markets in Crypto-Assets regime by December 30 or shut down operations in the country.
Consob, the country’s securities regulator, advised that the transition will change the way the providers offer trading, custody, and other services and urged investors and operators to pay as much attention as possible as the transition approaches its end.
Consob, MiCAR creates a new supervisory environment that aims to eliminate risks experienced in the recent global exchange failures and token collapses. The regulator claimed that the rules will transform the operation of Virtual Asset Service Providers throughout the EU and establish a more standardized system of regulation.
They observed that retail clients will experience tougher requirements on service quality, transparency, and its operational protection. These steps will enhance market stability in a fast-changing industry.
Italy Outlines Required MiCAR Compliance Steps for All VASPs
Within the current structure in Italy, VASPs are important, as they can operate until 30 December, 2025, provided they remain registered with the OAM, the national agents and brokers registry. After that date, they will need to show actual progress to become MiCAR-authorized Crypto-Asset Service Providers to remain active.
Consob noted that any company that was incapable of making the move toward authorization would fail to offer services to Italian users. The regulator emphasized that this is mandatory for all the operators.
VASPs that submit an authorization application by December 30 will not be prohibited from continuing to serve customers in the review period. This provisional extension is until the time that supervisors accept or decline the application.
The window should be closed by June 30, 2026. Companies that do not submit an application after the expiration date are not allowed to provide Crypto services and have to be ready to withdraw. This regulation will ensure that consumer protection gaps are avoided throughout the transition.
Also Read: Bitcoin Firm Blockrise Wins Dutch MiCA License for EU Expansion
MiCAR Brings Stronger Oversight and Unified EU Standards
Italy already needs OAM registration in place, whereas MiCAR needs prior authorization and continuous regulation. This change, said Consob, makes Italy in line with greater EU action to tighten controls following several high-profile failures.
The framework enhances the custody procedure expectations, risk management systems, and disclosures before the clients. It also cuts down on the discrepancies in national regulations and brings a more coherent framework to regulating asset providers with operations spread across borders.
Crypto Investors Urged to Verify MiCAR Compliance
As a part of supporting the transition, Consob published a comprehensive notice that reflects new European Securities and Markets Authority guidance. The document outlines the steps investors must take to meet the deadline. It recommends that clients verify with their providers whether they have definite plans on MiCAR compliance.
The regulator advised users to confirm the legitimacy of the providers via the OAM list of VASPs or the ESMA register of approved CASPs. Unauthorized providers are not allowed to provide services, and clients can demand the refund of their money or tokens. Consob reminded investors that prompt action reduces the risk of service disruption.
Companies that do not pursue a MiCAR license will have to cease operations after December 30, 2025, and refund client assets. The ones that will stay on the OAM register will have to clearly post notices on their websites and personally inform customers of their transition plans to achieve a seamless and well-organized move towards the new Crypto regime.
Also Read: 2025 Crypto Alert: Critical Vulnerability Exposed in MediaTek Chip, Affects Crypto Wallets
