Prime Minister Matteo Renzi said victory in the poll would end Italy's notoriously shaky political system that has prevented any government completing a full term since the Second World War.
But defeat will mean the end of the line for pro-Brussels Mr Renzi who has promised to quit if voters do not approve his constitutional changes.
It is a huge political gamble for the pro-EU centre-left leader with opinion polls showing many of the 50 million voters are undecided and the "No" camp gaining momentum in what will be a very close campaign.
Support for opposition parties who want away from Brussels and have been emboldened by Britain's historic decision to pull away from the EU is growing and the battleground is being set.
And if enough anti-EU protest voters are mobilised to outnumber those who back Mr Renzi's reform proposals he will be forced to pack his bags and Italy's membership of the bloc will be brought into sharp focus.
Such a result would be a hammer blow for the EU - and could spark a domino effect in the dozens of other critical votes across the eurozone that are set to be held.
A recent ECFR report revealed there are a total of 34 public votes lined up to be held in Europe which will be crucial to the future of the Brussels union.
Today's legal move saw the Court of Cassation validate the more than 500,000 signatures needed for the referendum to be held.
Credit to The Express
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