Types of cryptocurrency licenses in Lithuania.

License of Crypto Exchange in Lithuania.

A cryptocurrency exchange operator for cryptocurrency fiat currency exchange service providers – a company or branch of a company – gets the opportunity to exchange digital currency, receiving a commission. This is the official license covering services to exchange a fiat for cryptocurrency, and cryptocurrency for fiat, and crypto for cryptocurrency. This permission allows the management of the cryptocurrency exchange in a regulated manner.

License of the cryptocurrency depository wallet operator

This is the permission required for cryptocurrency wallet service providers. The crypto wallet service provider generates encrypted keys for clients that can be used for both storage and transfer of virtual currencies.

The company can obtain both permits at the same time. Lithuania сrypto license are controlled by the Financial Crime Investigation Service of Lithuania (FCIS). The average processing time is one month. The Central Bank of Lithuania insists on separating the activities of traditional financial institutions and cryptocurrency companies. In this case, virtual assets can be in the circulation of traditional market players. Applications for a cryptographic license in Lithuania can be submitted by companies or subsidiaries of companies that are both residents and non-residents of the EU.

How to get a crypto license in Lithuania?

To apply for a Lithuanian cryptocurrency license to provide cryptocurrency and/or wallet services, you must first create a limited liability company (UAB).

In order to conduct ICO in Lithuania and conduct business with crypto assets, a licensed company must conduct a detailed and up-to-date overview of all clients and transactions in accordance with AML/KYC rules. The FCIS monitoring body may request information about the company’s activities. Currently, the activities are regulated by the Law on the Prevention of Money Laundering, and the registration of a company under crypto business requires the preparation of documentation to comply with the law.

Basic requirements:

  • Requirements for conducting KYC of each client: obtaining from the client identification information on the origin of funds.
  • Planning of AML in the process of site activity, development of rules.
  • Availability of the website.
  • Obtaining permission from the tax police to conduct crypto activities.

Registration of a crypto company in Lithuania

Registration of a crypto company in Lithuania may be an alternative to starting a business in other European states. This is due to the fact that the launch of crypto activity in this state is considered quite affordable and budgetary solution in comparison with most European countries.