Italy's financial regulatory authority, Consob, has partnered with Google to protect Italian investors from online financial fraud. The agreement aims to tackle deceptive advertising promoting illicit financial services across the web and social media.
Starting today, only advertisers accredited by Italian authorities, including Consob, the Bank of Italy, and Ivass, will be allowed to promote financial services on Google platforms, such as Google Search and YouTube. This measure is designed to reduce the risk of misleading ads and prevent scammers from exploiting inexperienced users, according to Diego Ciulli, Google's head of Government Affairs and Public Policy in Italy.
Consob commissioner Federico Cornelli detailed the collaboration during a conference on investor protection in the social media era. He emphasized that the agreement with Google is a strategic move to leverage technology for safeguarding investors. The goal is to block fraudulent sites by working with major tech companies, including Meta, X, and LinkedIn, using algorithms to intercept and remove illegal ads before they reach users.
In recent years, Consob has already shut down over 1,200 suspicious financial abuse sites. However, many fraudsters operate outside the EU, complicating enforcement efforts. Google's AI technology is now capable of identifying and removing dangerous content more quickly and effectively, contributing to the protection of Italian savings.
Google has invested significantly in user protection online, viewing security as a top priority. Ciulli highlighted the role of AI in monitoring and preventing financial fraud. In 2022, Google blocked 198 million misleading ads globally, aiming for zero in the future.
According to Ciulli, Google's technology can identify and block 99% of phishing emails before they reach users' spam folders. Thus, AI is a fundamental pillar in preventing online scams related to unauthorized financial service advertisements.
Financial education is crucial in combating fraud, as consumers must be increasingly aware of the risks associated with online investments. However, Consob's goal extends beyond merely blocking fraudulent sites; it aims to collaborate with other platforms to create a global defense network against financial fraud.
Flavio Arzarello, Meta's head of Economic and Regulatory Policy, noted that the platform effectively identifies fake accounts, stating that the fight against fraud can only be won collaboratively.