The transponder gets it's power from the EWS pickup coil located around the ignition switch. The code sent by the transponder is picked up by the EWS coil and compared with a list of good codes programmed from the factory. If it's not on the list the EWS deactivates the starter motor. Everything will still work, radio, lights, doors, windows
Manually remove your immobilizer. Although you may be thinking to bypass the immobilizer from your Fiat 500, this is not recommended at all for some reasons. First your Fiat 500 would be much more vulnerable to theft attempts. Actually, without an immobiliser box, simply doing โthe wiresโ may be enough to turn your car on.
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how to disable car immobilizer