Resolution no. 23412

Order, pursuant to article 7-octies, paragraph 1, letter b) of Legislative Decree no. 58/1998 (“Consolidated Law on Finance”) to cease the infringement of article 18 of the Consolidated Law on Finance carried out through the websiteshttps://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com

LA COMMISSIONE NAZIONALE PER LE SOCIETÀ E LA BORSA
 [THE NATIONAL COMMISSION FOR COMPANIES AND THE STOCK EXCHANGE]

HAVING REGARD to Law no. 216 of 7 June 1974, as subsequently amended and supplemented;

HAVING REGARD to Legislative Decree no. 58 of 24 February 1998 (“Consolidated Law on Finance”), as subsequently amended and supplemented;

HAVING ESTABLISHED that, from checks on the web, it emerged that:

1. via the websites https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com - active and consultable in Italian through automatic translation systems - potential investors are offered the opportunity to trade digital currencies and derivatives on digital currencies through a trading platform. In particular, the website tuxtop.com states that “Tuxai is a leading quantitative trading company ... specialised in the use of artificial intelligence technologies to transform traditional financial trading” and that “Tuxai” undertakes “to provide our users with exceptional trading services”, offering activities that include “cryptocurrency derivatives[as well as] digital financial services”; said website also contains a “Join us” link that sends users to the tuxail.com website where they can register (this is also possible on the websites tuxai.com and tux8.com);
2. in order to trade, users must register with the websites https://tuxai.com, https://tuxail.com or https://tux8.com through a procedure that is also available to Italian users, who, once they have completed the registration process, can access the platform to trade on digital currencies and digital currency contracts: in this regard, the website tux8.com states that “TUX's main product is an innovative trading platform, the TUXSystem, which integrates advanced artificial intelligence technology ... to help users make informed investment decisions ... using grid trading strategies” and that TUX's scope of activities includes “innovative sectors such as ... cryptocurrency derivatives”. The site tuxail.com also explains “how TUX generates revenue”: “TUX's intelligent trading system not only helps users achieve stable asset growth, but also ensures that 50% of the profit generated by each transaction goes to the user, with the remaining 50% shared by the system”;
3. as to the traceability of the aforementioned operations, the https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com websites contain references to “Tux” and “Tuxai” with an alleged headquarters in Canada; the tuxtop.com website also indicates the email address “admin@tuxtop.com.com”;

WHEREAS the activity carried out via the websites https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com is to be considered as provision of investment services, as referred to in Article 1, paragraph 5, of the Consolidated Law on Finance, as users are offered the opportunity, through the aforementioned domains, to register for and access the trading platform on which orders to buy and/or sell financial instruments can be placed;

WHEREAS the above activity, carried out via the websites https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com, is still ongoing and is aimed at Italian investors, given that said websites are available in Italian through automatic translation systems and that no mechanism was found that blocked registration by users attempting to register on the website from Italy through Italian IP addresses; moreover, in relation to said websites, cold calling of Italian consumers has also been reported and complaints were received from Italian retail investors who reported that potential customers come into contact with said platform also through word of mouth and WhatsApp and Telegram groups, in which they are invited to register and invite other users to do so;

WHEREAS the https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com websites cannot be attributed to any entity authorised to provide investment services to the Italian public;

HAVING REGARD to the fact that the provision of investment services and activities is reserved to licensed parties as referred to under article 18, paragraph 1, of the Consolidated Law on Finance, pursuant to which “The commercial provision of investment services and activities to the public is reserved to Italian investment firms, EU investment firms, Italian banks, EU banks and non-EU firms”;

HAVING ESTABLISHED, therefore, that the activities in question qualify as the professional provision of investment services to the Italian public, in breach of Article 18, paragraph 1 of the Consolidated Law on Finance;

HAVING REGARD to the provisions of Article 7-octies, letter b) of the Consolidated Law on Finance - “Powers to counteract unauthorised provision of investment services” -pursuant to which Consob “may, with regard to anyone who offers or carries out investment services or activities over the Internet without being qualified to do so pursuant to this decree: […] b) order that the infringement cease”;

CONSIDERING it therefore necessary, in the light of the foregoing, to adopt this Resolution immediately for reasons of urgency;

RESOLVES:

To order the cessation of the infringement of Article 18 of Legislative Decree no. 58/98 performed through the websites https://tuxtop.com, https://tux8.com, https://tuxail.com and https://tuxai.com, consisting in the provision of investment services and activities to the Italian public.

This Resolution shall be brought to the attention of the concerned parties and published in the Consob Bulletin.

This measure may be appealed before the Regional Administrative Court of Lazio within 60 days of the date of service.

29 January 2025

THE CHAIRMAN
Paolo Savona