#Trump100Days In its latest report on financial stability, the Bank of Italy warned of the increasing systemic threats posed by cryptocurrencies, noting the growing correlation between digital assets and the traditional financial sector, especially in light of supportive political trends for cryptocurrencies in the United States, led by President Donald Trump.
The bank indicated that the increasing integration between cryptocurrencies and financial markets could expose the global financial system to growing risks, in the absence of clear regulatory frameworks. The support of the Trump administration for this sector has raised increasing concerns among European financial institutions, especially with the sharp rise in digital asset prices following his election victory.
Despite repeated warnings, Italy's largest commercial bank, "Intesa Sanpaolo", has taken a more open stance, having invested in Bitcoin and purchased 11 units of it in January 2025, and has also begun developing new trading tools and blockchain technology.
The bank's report noted that more than 75% of major digital asset companies are concentrated in the United States, which strengthens these companies' dominance in the global market and raises concerns about conflicts of interest, governance gaps, in addition to threatening the monetary sovereignty of European countries. It also pointed to the potential risks of dollar-backed stablecoins, such as USDT and USDC, which could cause market disruptions in the event of mass redemptions.
While the Bank of Italy has called for caution regarding the deepening links between traditional finance and cryptocurrencies, some entities within the country – from banks to legislators – see a promising future in digital assets, reflecting an internal division on how to deal with this fast-paced sector.
