Prospects with crypto license in Lithuania
Lithuania is one of the European regulators that offer advantageous conditions for fintech companies wishing to obtain an electronic money license or payment system license and work in the EEA area. The regulator in Lithuania is the Bank of Lithuania. The process of obtaining a license takes from 3 months to 6 months. Low maintenance costs for the company. Attractive jurisdiction for operations in the European region for companies facing difficulties due to Brexit. Convenient banking environment for opening a customer account in the Bank of Lithuania for SEPA IBAN-numbers. Developed payment infrastructure: direct technical access to SEPA and possibility of issuing own IBAN via API of Bank of Lithuania. An enabling environment for startups, consultation and assistance from official organizations.
The features of crypto license in Lithuania
Lithuania is recognized as one of the fastest growing FinTech hubs in the EU region and worldwide. The country offers favourable conditions for fintech business, has a clear legal framework and a stable political environment. Lithuania ranks 4th in the ranking of Global Fintech as a country actively developing the market of financial technologies. Lithuania offers strong institutional support and assistance to fintech companies during their first year of operation. In addition, the Bank of Lithuania offers a pilot environment for financial innovations (regulatory sandbox) and gives developers of innovative financial products and business solutions the opportunity to test them in real environment under the supervision and guidance of the Bank of Lithuania. Lithuania offers two main types of licenses – EMI and PI; however, in most cases, after reviewing the application and all documents, the regulator recommends the EMI license.
Application and license documents to the supervisory body of the Bank of Lithuania, which is considered within 5 working days. The Bank of Lithuania verifies whether all the necessary documents have been submitted, whether there are no formal shortcomings and accepts the application. Verification of the application and all documents. If the submitted documents do not contain inaccuracies, the license is issued as soon as possible within 3 months (in the case of a small license – 2 months). In general, submitted documents only in exceptional cases have no shortcomings, so the regulator sends comments on the submitted documents and requests additional information. In this case, the period of checking the documents is extended. Issuance or refusal of a licence. The Board of the Bank of Lithuania verifies the summary information provided by the supervisory authority and decides on the issue or refusal of the license.
Terms of crypto license in Lithuania
Formally, the license period for authorized EMI and PI is 3 months, for Small EMI and PI – 2 months. In cases where not all documents have been filed or submitted with defects, the term is extended for another 3 months for EMI and PI, 2 months for Small EMI and 5-6 months for Small PI.
Before submitting all documents for obtaining a crypto license in Lithuania, you need to have a clear understanding of your technical solution and have all the draft contracts for outsourcing services, as well as agreements with parties involved in the process of providing payment services.