Crypto authorizations for companies in Lithuania

In this article we will discuss the general information, obligations and requirements of virtual asset service providers in Lithuania and crypto authorizations for companies in Lithuania.

Virtual currency exchange operators & custodian virtual wallet operators

The Law of the Republic of Lithuania on the Prevention of Money Laundering and Terrorist Financing is the main source of legislation governing the activities of virtual asset service providers.

The Financial Crime Investigation Service under The Ministry of the Interior of the Republic of Lithuania (FNTT) is the supervisory body in Lithuania for the regulation of
1. virtual currency exchange operators, and
2. custodian virtual wallet operators.

These are the two types of crypto authorizations available for virtual asset service providers (VASPs) in Lithuania, and a Lithuanian crypto company can either hold one of the authorizations or both of the authorizations at the same time.
The difference between these two types of authorizations is that the virtual currency exchange operator is allowed to exchange virtual currency owned by the client for the commission fee and the custodian virtual wallet operator is allowed to manage clients virtual currency depository wallets.

Activities under the Lithuanian crypto authorizations

Lithuanian VASPs can perform the following activities under the above mentioned authorizations:
1. Exchange of virtual currency to fiat currency;
2. Exchange of fiat currency to virtual currency;
3. Exchange of virtual currency to another virtual currency;
4. Storage of virtual currency on behalf of the clients.

In this part we explained the general information of virtual asset service providers in Lithuania. In the next part, we will discuss the obligations and requirements applicable to virtual asset service providers in Lithuania.

To find out more about virtual asset service providers and crypto authorizations for companies in Lithuania, please refer to our Baltic lawyers at info@gencs.eu