Travel Rule required for VASPs under AML/CTF legislation. Effective on November 1, 2022, with a compliance transition period until January 1, 2023.

Lithuania has implemented a comprehensive regulatory framework for cryptocurrencies, focusing on compliance with the FATF Financial Action Task Force. With the enactment of Legislative Decree No. 129/2024, Lithuania enforces robust compliance for Virtual Asset Service Providers (VASPs) through the Financial Crime Investigation Service (FCIS).  The amended Law on the Prevention of Money Laundering and Terrorist Financing, amended in 2022,  mandates Virtual Asset Service Providers (VASPs) to adhere to robust anti-money laundering (AML) and counter-terrorist financing (CTF) measures. These regulations promote transparency and security within Lithuania’s cryptocurrency market.

1. Is cryptocurrency legal in Lithuania?

Yes.

Lithuanian residents are legally allowed to own, buy, and sell virtual assets. The legal framework ensures that cryptocurrency activities comply with international standards and operate securely.

2. Are there any AML crypto regulations in Lithuania?

Yes.

Lithuania’s AML laws designate VASPs as “obliged entities,” requiring them to:

• Conduct customer due diligence.
• Monitor transactions.
• Report suspicious activities to the Financial Crime Investigation Service (FCIS).

These measures align Lithuania with FATF standards.

3. Is the Crypto Travel Rule mandated in Lithuania?

Yes.

Lithuania has implemented the FATF Travel Rule, requiring VASPs to collect and transmit identifying information about originators and beneficiaries for cryptocurrency transactions.

4. Who regulates cryptocurrency in Lithuania?

The Financial Crime Investigation Service (FCIS) is responsible for regulating cryptocurrencies in Lithuania, ensuring compliance with AML and CTF obligations.

FATF Travel Rule Requirements in Lithuania

1. Are there licensing or registration requirements for VASPs in Lithuania?

Yes.

VASPs must register with the FCIS and demonstrate compliance with AML/CTF regulations. Registration requires:

• Details of governance and operations.
• Internal control mechanisms.
• Proof of AML compliance.

2. When did the Crypto Travel Rule go into effect in Lithuania?

The amended AML law, which includes the Travel Rule, came into effect on November 1, 2022.

3. Does Lithuania permit a grace period to comply with the Crypto Travel Rule?

The legislation provided a transition period for existing VASPs to comply with new requirements by January 1, 2023.

Complying with the FATF Crypto Travel Rule in Lithuania

1. What is the minimum threshold for the Crypto Travel Rule in Lithuania?

Lithuania applies the Travel Rule to all cryptocurrency transactions equal to or exceeding EUR 700 or its equivalent in foreign or virtual currency

2. What personally identifiable information is required to be shared for the Crypto Travel Rule in Lithuania?

VASPs must collect and transmit the following data for both originators and beneficiaries:

• Full name.
• Address.
• Date and place of birth.
• Nationality.
• Account number or transaction identifier.

This ensures traceability and compliance with FATF guidance.

3. What are the non-custodial or self-hosted wallet requirements in Lithuania?

VASPs are required to apply AML measures for transactions involving self-hosted wallets, including due diligence and reporting suspicious activities where necessary.

Why Choose Notabene for Crypto Travel Rule Compliance in Lithuania?

Notabene offers a complete compliance solution for Lithuanian VASPs, enabling efficient and secure Travel Rule adherence:

• Simplified Integration: Quickly align with Lithuania’s AML/CTF requirements using our platform.
• Automated Data Sharing: Ensure seamless information exchange while maintaining data privacy.
• Testnet Environment: Prepare for compliance with a safe and simulated testing platform.

With Notabene, you can enhance operational efficiency while meeting Lithuania’s stringent regulatory standards.