Securities market regulator Commissione Nazionale per le Società e la Borsa (Consob) has informed Binance that the exchange company does not have the approval to operate in Italy.
The financial watchdog asked investors to employ “utmost diligence” and verify websites of exchange firms before investing.
“Savers are invited to make use of their utmost diligence to make their investment choices in full awareness, verifying in advance that the websites through which they invest can be attributed to authorised subjects,” a statement from Consob read.
Binance, however, maintained that its website is not domiciled in Italy, therefore Consob’s directive does not have a direct impact on the services it offers.
The mainstream cryptocurrency exchange also said that it treats “compliance obligations very seriously” adding that the firm employs a “collaborative approach in working with regulators.”
Financial regulators in the UK, Thailand, Japan, Germany and the United States have also restricted the operations of Binance within their respective countries in recent months.