Italy's financial regulator, CONSOB, has issued a warning to social media financial influencers, or "finfluencers," citing the latest guidance from the European Securities and Markets Authority (ESMA). The warning emphasizes that promoting high-risk products such as cryptocurrencies, CFDs, and forex within the EU must comply with investment recommendation and advertising regulations. Unlicensed personalized investment advice and undisclosed paid promotions could lead to significant fines or criminal charges.
The regulator stressed that promoting financial products is not akin to selling shoes or watches, urging the public to be wary of "get-rich-quick" schemes and unauthorized partnerships. This move highlights the increasing scrutiny on social media influencers in the financial sector, aiming to protect consumers from misleading promotions.
Italian Regulator Warns Finfluencers on High-Risk Product Promotion
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