Do you need a crypto license in Lithuania?

In order to conduct cryptocurrency activities in Lithuania, companies need to obtain a relevant licence , which is issued by the Lithuanian Anti-Money Laundering Centre.

Is crypto mining legal in Lithuania?

Crypto businesses can operate legally in the country thanks to the country's legal framework . In order to prevent money laundering and terrorist financing, such activities are strictly regulated and controlled.

What is the easiest country to get a crypto license?

Transparent regulatory environment: Lithuania offers clear and understandable requirements for cryptocurrency transactions, including an easy process for obtaining the necessary licences.

How do I register my crypto company in Estonia?

LICENSING PROCESS An application for a crypto permit in Estonia may be submitted by someone from the company's board . If there is an electronic resident card when visiting a notary in Tallinn, the application for a license should be submitted via the Internet. The fee for the application for the license is EUR 10,000.

Do you need a license to create a cryptocurrency?

MSBs that engage in virtual currency activities are defined as money transmitters and must register with FinCEN as MSBs and comply with all relevant AML/CFT regulations. Section 18 of the US federal law USC § 1960 prohibits conducting a money transfer business without a licence .

Why do you need a crypto license?

Licensed companies can legally provide services related to the exchange and storage of crypto assets, participate in investment projects, and develop their technology platforms .

Do I need a license to mine cryptocurrency?

California prohibits mining but allows exchanges (with restrictions). Tax laws apply.

Does Lithuania tax crypto?

According to Republic of Lithuania Law on Personal Income Tax, virtual currency is considered property, so income from the sale of virtual currency is taxed in the same way as other income from the sale of assets .

Is Coinbase legal in Lithuania?

Yes, Coinbase works for users in Lithuania . Coinbase in Lithuania allows for the use of debit cards, credit cards, bank accounts, wire transfers, and in some cases, PayPal to buy cryptocurrencies.

Which country is no. 1 in cryptocurrency?

Note that if we were to rank countries based on their actual number of crypto owners, India would rank first at 93 million people , China would rank second at 59 million people, and the U.S. would rank third at 52 million people.

Can you sell crypto without a license?

The Series 7 License – Needed for Cryptocurrency Securities This means these crypto will be regulated by the SEC. Any person using someone else's assets to buy and sell crypto should consider obtaining a series 7 examination .

How do I check if a company is registered in Estonia?

The e-Business Register is the official portal of the Estonian state that includes the data of all legal entities registered in Estonia in a single environment.

Why register a company in Estonia?

Registering a company in Estonia provides access to the vast and lucrative European Union market . With its strategic location, Estonia is a gateway for businesses aiming to expand their reach across Europe. Estonia is renowned for its advanced digital infrastructure.

How much is company incorporation in Estonia?

To establish a FIE, a general partnership or limited partnership, you will have to pay a state fee of 20 euros . If you establish the company electronically under expedited procedure, the state fee will be 265 euros. If you are using a notary for the formation of a company, the notary fees will be added.

Lithuania company with cryptocurrency licence : Baltic Legal incorporation (2024)

European Union member state Lithuania has a legal framework to acquire crypto licence for corporate entity. Regulation regarding crypto assets in Lithuania is sufficiently flexible to make it an attractive option where the goal is to have crypto legally in European Union.

There are two options: registering a brand now legal entity or purchasing a ready-made solution - a shelf company with crypto authorisation setup (with and without bank account available).

Shelf company with cryptocurrency licence and an optional bank account

Expected expense for full setup at glance.

With a bank account	15000€
Without a bank account	12500€

Contact us with detailed explanation of what’s included in each option and what are the requirements. However, if ready-made solution is not what you’re looking for – keep reading to find out the other option of registering a brand-new company in Lithuania (European Union).

Crypto Exchange or Crypto Wallet licence

Lithuania has established excellent environment for FINTECH business. The jurisdiction has a start-up environment whereby it has introduced two types of cryptocurrency licence – Crypto Exchange (Crypto currency exchange operator licence) and Crypto Wallet (Crypto currency depository wallet operator). Current regulation has greatly simplified the procedure to acquire a crypto licence.

Crypto Exchange licence in Lithuania

A company, branch or incorporated legal representative holds the right to exchange between digital currencies and receive a commission for exchange services in addition to providing services regarding fiat currency exchange to cryptocurrency and vice versa.

Crypto Wallet licence in Lithuania

A company, branch or incorporated legal representative holds the right to manage and safekeep cryptocurrency depository wallets owned by consumers and other third parties.

Licence registration

Companies or branches can apply for the Lithuanian crypto licence. This is regardless of the fact if the entity is a resident or non-resident of the EU.

The Central Bank of Lithuania aims to strictly separate traditional financial institutions and cryptocurrency service providers – companies buying, selling, storing, or exchanging cryptocurrencies. However, digital assets can be show in turnover of traditional market players.

The Central Bank has extensive framework to encourage the development of non-banking payment services.

Continuation requirements

An entity operating under cryptocurrency regulation must follow specific set of guidelines. The requirements include:

Customer identification and verification procedure for all customers
Thorough accounting and records of customer data must be managed
Mandatory introduction of internal control procedure – transaction monitoring
AML (Anti-Money Laundering) Policy officer must be appointed
Mandatory reporting to FCIS (Financial Crime Investigation Service) of Lithuania

Ongoing expense

Lithuania option for crypto licence is especially appealing as there are no requirements for local personnel. The single requirement for a local employee is in regard to AML/MLRO officer. The employment of such officer can be hourly based, for instance, 10 hours a month.

Company registration in Lithuania

Baltic Legal and its extensive professional experience in Lithuanian market is at your disposal when you are considering registering a company in Lithuania with crypto licence.

Registering a limited liability company (in Lithuanian language - UAB) can make the process quicker and increase the success for acquiring Lithuanian crypto licence.

Here are some indications when preparing to open a Lithuanian company:

Ensure the presence of at least 1 shareholder and 1 director ^[1];
A local professional AML Compliance Officer.

^[1] Director can be a member of the board. There are no restrictions on citizenship or place of residence.

The company’s recommended minimum share capital is 10 thousand euros for each shareholder.

Additional requirements

AML (Anti-Money Laundering) Policy Officer or Compliance Officer reporting to FCIS must be different individuals in case your company is planning to have both. There’s no requirement to have both positions. The Compliance Officer must be a resident of Lithuania.

Shareholders/UBO must be approved by the Investor Appraisal Commission (IAC).

To conduct cryptocurrency asset business in Lithuania, there must be a clear information control of all clients and transactions as per AML/KYC regulation, which is done internally by AML/MLRO officer. The control must include external client identification and transaction monitoring system implementation.

Baltic Legal business support and licence registration services

If any of the information above does not answer your question regarding cryptocurrency licence in Lithuania, our employees can provide you with a comprehensive advice based on crypto legal framework and regulation in Lithuania.

One of the top reasons why Lithuania is selected as a jurisdiction for incorporating a cryptocurrency exchange entity is the size of tax rates for local and foreign entrepreneurs.

There is a low-income tax rate of 15% in Lithuania. Availability of EMI licenses in Lithuania assists many companies to avoid high tax burdens.

The European member state is different in the presence of designated goals for the effective development of financial technologies. Please contact us if you are interested to open a company in Lithuania and subsequently acquire a crypto licence.