According to the Bank of Italy, the integration of Bitcoin and cryptocurrencies with the traditional economy increases risks for the financial system.
On April 29, the Bank of Italy released its Financial Stability Report for April 2025, highlighting how Bitcoin and other cryptocurrencies represent emerging risk factors both for investors and for the entire financial system.
According to the document, “the strong growth of Bitcoin and of other crypto-assets with high price volatility means risks not only for investors but also potentially for financial stability, given the growing interconnections between the digital asset ecosystem, the traditional financial sector and the real economy.”
The Italian monetary authority expressed concern over the growing ties between the digital asset world and the traditional economy, warning that this could amplify the effects of potential market shocks.
One phenomenon the Bank of Italy considers particularly troubling is the acquisition of bitcoin by non-financial companies. According to the report, this practice exposes such firms to “marked price volatility” driven by “the belief that Bitcoin can support their share prices.”
This trend, which began with Strategy (formerly MicroStrategy) in August 2020, has seen several other companies follow suit, including Metaplanet, Semler Scientific, and GameStop.
Stablecoin risks
The document also dedicates considerable attention to stablecoins pegged to the US dollar, warning that they could become systemic and introduce new financial vulnerabilities. The Italian central bank pointed out that the growing reliance on US government bonds to back these assets could create broader issues. Any fluctuations in both the stablecoins and the underlying bonds could have “repercussions on other parts of the global financial system,” the Bank of Italy stated.
These warnings come just days after comments from Italian Minister of Economy and Finance Giancarlo Giorgetti, who cautioned that the appeal of US dollar stablecoins should not be underestimated, describing US policies on stablecoins as “more dangerous than the tariffs imposed by President Donald Trump.”
