On Jul. 11, LTH MoF announced regulatory changes for crypto sector.
LTH MoF announced LTH PRL approved draft law on crypto-asset markets, establishing new requirements for the conduct of activities for crypto-asset service providers.
To implement MiCA regulation (Reg 2023/1114), the laws adopted by LTH PRL modify the existing model for supervising and registering virtual currency wallet operators and virtual currency exchange office operators, which has been in force until now.
Law implements EU legislation setting out requirements for conduct of such entities.
Operators offering crypto-asset services must obtain an operating license from LTH CB.
Implementation of MiCA and transfer of funds (TRF) regulations will ensure greater protection of interests of retail investors, increase legal certainty re powers and tools for supervision by supervisors, and better manage risks, including AML/CFT.
Amendments provide that LTH CB will be responsible for provider supervision.
Authorities responsible for the supervision of the prevention of money laundering and terrorist financing (PPTF) of crypto-asset service providers are LTH CB and LTH FIU.
Effectiveness
The MiCA regulation will apply in full from Dec. 30, 2024; the legislative package includes a transitional period until Jun. 1, 2025, allowing time for preparation and for operators to obtain the necessary licenses to comply with the new regulation.
Jul. 2024 LTH PRL issued Law
On Jul. 24, 2024, LTH PRL issued law XIV-2879 on crypto-asset markets.
Follows LTH PRL issued May 2024 draft law on crypto-assets and explanatory material.
Purpose of law is to ensure guaranteed, fair, open, efficient operation of crypto-asset markets, the holders of crypto-assets that are not asset-linked tokens or electronic money tokens, asset-linked tokens or electronic money tokens, guaranteed by MiCA.
Provisions on financial accounting, financial statements, audit of financial statements of asset-linked token issuer and crypto-asset service provider and on responsibilities of the auditor and the audit firm performing the audit of the financial statements of the asset-linked token issuer or crypto-asset service provider are in force Aug. 1, 2024.
Those who publicly offer/request to include in trading crypto-assets that are not asset-linked or e-money tokens, crypto-asset service providers must comply by Dec. 30.
Virtual currency exchange operators and deposit virtual currency wallet operators that have been entered into the list maintained by the Register of Legal Entities must have received a license to carry on their activities under this procedure by Jun. 1, 2025.
On same day amendments were made to several laws regarding regulation of cryptos.
In Jul. 2024, LTH PRL issued AML Law on crypto and corporate measure, see #220781.
In Jul. 2024, LTH PRL issued AML law on amended crypto measures, see #220732.
In Jul. 2024, LTH PRL amended the markets in financial instruments law, #220762.
In Jul. 2024, LTH PRL issued amendments to central credit union law, see #220758.
In Jul. 2024, LTH PRL amended law on collective investment entities, see #220812.
In Jul. 2024, LTH PRL issued amendments to financial institutions law, see #220887.
In Jul. 2024, LTH PRL issued law amending the law on AIFs managers, see #220942.
In Jul. 2024, LTH PRL published law amending the banking law, see #220944.
In Jul. 2024, LTH PRL published changes to payment institutions law, see #220954.
In Jul. 2024, LTH PRL amended law on e-money, e-money institutions, see #220963.
In Jul. 2024, LTH PRL amended the law on the Lithuanian central bank, see #220977.
In Jul. 2024, LTH PRL amended the financial accounting law, see #220990.
In Jul. 2024, LTH PRL published law amending the payments law, see #221070.
In Aug. 2024, LTH FIU reported virtual currency operator requirements, see #222767.
In Oct. 2024, LTH CB reported on crypto-asset service providers license, see #231939.
Regulators
LTH CB; LTH MoF; LTH PRL
Entity Types
B/D; Bank; Exch; IA; Inv Co; MSB
Reference
OG 2024-13487, 7/24/2024; Law XIV-2879, PR, 7/11/2024; MiCA Reg 2023/1114; TFR Reg 2023/1113; Fintech
