Lithuania Warns Crypto Firms to Exit or License Before Dec. 31, 2025
The post Lithuania Warns Crypto Firms to Exit or License Before Dec. 31, 2025 appeared on BitcoinEthereumNews.com.
Lithuania sets December 31, 2025, as the end of its crypto licensing transition period Lietuvos bankas urges operators to begin client communication about winding down. Unlicensed operations after the deadline face criminal penalties up to 4 years in prison. Lithuania’s central bank, Lietuvos bankas, urged virtual currency exchange and depository wallet operators that do not intend to seek authorization under the EU’s MiCA framework to begin an orderly wind-down of their operations. The transitional period for obtaining licenses ends December 31, 2025. The guidance targets operators included in lists maintained by the State Enterprise Centre of Registers who do not intend to provide services under Regulation (EU) No 2023/1114 on markets in crypto-assets. After the transitional period expires, accepting new clients and custody of crypto-assets without proper licensing will constitute illegal financial activities. Operators Must Execute Client Communication Plans Dalia Juškevičienė, head of the Investment Services and Undertakings Supervision Division, stated that market participants not planning to continue operations should launch active communication campaigns. All clients require proper and timely information regarding the winding-down process. Operators must provide information on winding-down timeframes and detailed instructions for transferring funds and crypto-assets. Clients need notification about the possibility of exchanging crypto-assets for funds that operators would transfer to custodians at the client’s instruction. Lietuvos bankas stated that operators must ensure information reaches clients through multiple channels rather than a single channel of communication. Operators should complete all steps to return client assets before losing authorization to provide crypto-asset services. Lithuania Punishes Unlicensed Financial Services The Criminal Code of the Republic of Lithuania establishes that providing financial services without required licenses is punishable by public works, fines, restriction of liberty, or imprisonment for up to four years. Lietuvos bankas holds the authority to block websites of illegal financial service providers. The central bank…
Filed under: News - @ December 23, 2025 7:25 pm