Reports published on January 24 suggest that the Italian Senate committee has accepted an amendment on blockchain industry regulation. The amendment is termed as ‘Decreto semplificazioni’ and has already been approved on January 23 by the Senate committee of Constitutional Affairs and Public Works. This is the first ever regulatory move by the Italian government in the blockchain industry.
Basic terms used in the industry like distributed ledger technology (DTL), and smart contract definitions are mentioned in the amendment. It is also noted in the document that a digital data record backed by blockchain technology will allow legal validation of document during registrations. Following permission grants from the Senate’s ‘filter committee’, two more permissions are required from the chamber of deputies and the Senate of the Republic (Italian Parliament).
Over time, when a decree converts into a law, Agency for Digital Italy (the technical agency of the presidency of the Council of Ministers) will set up the technical aspect of the legislation. A blockchain group expert of a working group initiated by the Ministry of Economic Development, Fulvio Sarzana reverted on the move suggesting that this is an attempt by Italy to legalise transactions with the use of distributed ledger technology essentially in order to eliminate middleman or centralised certification institutions.
In the month of December last year, Italy became of the seven members to make it to the Southern European Union countries that adopted a declaration asking for support to promote blockchain technology application in the region. In the month of September 2018, Italy was the 27th member to sign a declaration forming a European Blockchain Partnership in order to develop cross border digital services while improving the security levels and privacy standards.