Italy's Government to Provide Subsidies of Up to $46 Million for Blockchain Companies

Italy's Ministry of Economic Development is planning to provide up to $46 million (roughly Rs. 364 crore) in subsidies for developing projects across artificial intelligence, blockchain and Internet of Things technologies, starting in mid-to-late September. The new policy is expected to strengthen research and innovation capabilities for industries. Minister of Economic Development Giancarlo Giorgetti said "the challenge of competitiveness requires constant innovation." The government directive was made possible by a decree in December 2021 establishing criteria for using the fund and a subsequent one in June 2022 in which the Ministry set the terms and conditions for submitting applications.

"We support companies' investments in cutting-edge technologies with the aim of encouraging the modernisation of production systems through management models that are increasingly interconnected, efficient, secure and fast," said Minister of Economic Development Giancarlo Giorgetti in a press release. "The goal of competitiveness requires the manufacturing industry to constantly innovate and use the potential of new technologies."

According to the decree submitted in June 2022, companies of any size will be eligible to apply for subsidies provided the funds will be used for IoT, AI or blockchain in sectors including industry and manufacturing, tourism, health, the environment, and aerospace.

Back in May, the body responsible for granting regulatory approval to crypto service providers in Italy, the Organismo Agenti e Mediatori (OAM), gave the green light to major crypto exchange Binance to open a branch in Italy.

It is also worth noting that Italy, being a member of the European Union, is likely to be affected by recent regulations agreed by the EU Parliament aiming to bring crypto issuers and service providers within its jurisdictional control under a single regulatory framework.