Italy’s central bank orders sanctions checks on every crypto transfer

Italy’s central bank just made life considerably harder for crypto firms operating in the country. Banca d’Italia issued a communication on September 7 requiring that every single crypto asset transfer be screened against sanctions lists, with no minimum transaction value to duck under. What the directive actually requires The Banca d’Italia communication reinforces obligations stemming from European Banking Authority guidelines (EBA/GL/2024/15), which took effect in Italy on December 30, 2025. The core requirement is straightforward: crypto-asset service providers (CASPs) and payment service providers (PSPs) must screen both originator and beneficiary information on every crypto transfer. Traditional payment service providers have enjoyed certain carve-outs for instant payments, where the speed of execution makes full pre-transfer screening impractical. The Banca d’Italia made a point of clarifying that those exceptions do not extend to crypto transfers managed by CASPs. Non-compliance isn’t just a slap on the wrist, either. CASPs that fail to meet these requirements face both administrative and criminal penalties under Italian law. The Italian crypto market under MiCA Italy’s cry...