Lithuania to Introduce New Rules for Crypto Businesses

Wilfred Michael 

Wilfred Michael

News reporter

08 April 2019,
18:18
Lithuania to Introduce New Rules for Crypto Businesses

The Republic of Lithuania will continue its recent effort to control the activities of crypto-related businesses by rolling out new regulations in the coming months.

A local news agency, Baltic Times, reported on April 8 that the country’s Ministry of Finance has lined up the new rules as a way to prevent these businesses from serving as a venue to money laundering and terrorist financing activities.

As per the report, some of the soon to be implemented rules include:

  • Crypto-related businesses would have to register with the Lithuanian Centre of Registers and get approval before operating in the country.

  • Operators would also implement anti-money laundering (AML) and counter-terrorism financing (CFT) laws in line with requirements set forth by the Financial Action Task Force (FAFT).

  • Operators would have to request that customers provide information regarding their identity for transactions exceeding 1000 euros (appr. $1125) and report transactions above 15,000 euros (appr. $16,800) with the country’s Financial Crime Investigation Service.

Sharing his thoughts about the new rules, Sigitas Mitkus, Director of Lithuania's Finance Ministry Financial Market Policy reportedly said,

"We want to create a transparent legal environment for virtual currency exchanges, depository wallet operators and ICO initiators. We also want to contribute to ensuring better consumer protection."

Although he went further to claim that Lithuania may by the new rules become “the first in the world to implement the FATF (The Financial Action Task Force) recommendations,” Stmarket.co has reported similar developments in other countries pursuing crypto regulation.

For instance, Pakistan’s new rules for cryptocurrency exchanges released last week was in line with FATF standards while the same can be said of France’s proposed crypto rules expected to go live later this month.

Back in December, we also reported that Dutch cryptocurrency exchanges and wallet providers would come under similar regulations.

 

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