The city may have banned the ugly lock boxes hanging on the walls outside the buildings in the city center but the self check in procedures are allowed.
There was a clarification by the Ministry of the Interior that required the physical presence of the host to verify the identity of the guest, to make sure the guests actually matched the ID documents provided (ID data must be transmitted by the host to the police headquarters portal within 24 hours).
However that was challenged in Administrative Court and the Italian Council of State, the highest administrative law court, has ruled last November that the verification “de visu” (face to face) must be done at the time of check in but can be done also via video call, not necessarily physically in person.
Therefore, assuming the host or his/her agent, complies with such law, they can still give you the codes to enter the house remotely, but it is possible they will contact you via WhatsApp or FaceTime video and supposedly make sure you are the same person that matches the person in the passport you probably had to send previously via email. Of course there might be other properties where the host, or agent, chooses to meet you in person at the property.
As I said, whether the host will actually comply with the law is another story. Who’s going to verify they actually had a video call with you to look at your face?