Italy's financial regulator, the Commissione Nazionale per le Società e la Borsa (CONSOB), has issued a direct alert to social media finance influencers, reinforcing a warning from the European Securities and Markets Authority (ESMA). The regulators stress that European financial rules fully apply to promotional content for cryptocurrencies and other high-risk investments shared online, even by non-professionals.
The ESMA factsheet, released last Thursday and highlighted by CONSOB, states that "promoting a financial product or service isn't like promoting shoes or watches." It clarifies that rules covering investment advice, marketing, and transparency apply to online content. The authority warned that promoting contracts for difference (CFDs), forex, volatile crypto assets, and unregulated crowdfunding may expose consumers to full capital loss.
A key point emphasized is that disclaimers such as "this is not financial advice" do not remove legal obligations or liability. ESMA reminded influencers that investment tips may qualify as regulated advice and require proper licensing. Content creators must also clearly disclose any paid promotion or commercial partnerships.
CONSOB urged influencers to verify if the platforms or products they promote are authorized and regulated. The regulator warned that creators could face legal action for amplifying fraud or non-compliant products, even without direct intent, and that misleading or unlicensed investment content remains subject to full regulatory enforcement and penalties. Violations could attract fines of up to €5 million for individuals and even higher for firms.
This action is part of a broader European clampdown. France has introduced a Responsible Influence Certificate for influencers promoting financial products, requiring training and testing. The UK's Financial Conduct Authority finalized social media promotions guidance in 2024. The notice also references global cases, including the U.S. SEC fining Kim Kardashian $1.26 million in 2022 for promoting EthereumMax tokens without disclosing payment.
CONSOB's warning comes as it strengthens domestic enforcement, having reportedly blocked over 1,500 investment websites since 2019. The regulator also reiterated upcoming deadlines for crypto service providers in Italy to comply with the EU's Markets in Crypto-Assets (MiCA) regulation.
