Lithuania's Central Bank Issues Strong MiCA Compliance Warning to Crypto Service Providers

Source: CryptoNewsNet Original Title: MICA Rules Come into Effect! Another European Country Issues a Very Strong Warning to Crypto Exchanges! Here Are the Details Original Link: The Central Bank of Lithuania has issued a significant warning to cryptocurrency service providers operating in the country. The bank stated that local crypto companies will be considered to be operating illegally and will face serious penalties if they do not obtain the necessary license by December 31st.

According to an announcement from the central bank, entities that have not obtained authorization under the European Union’s Crypto Asset Market Regulation (MiCA) will be unable to accept new users, accept crypto assets, or offer any services as of January 1st. Companies that continue to operate despite these conditions will be considered to be engaging in illegal financial transactions.

Authorities stressed that companies failing to comply with the rules could face fines, their websites could be blocked, and those responsible could face up to four years in prison. The Central Bank of Lithuania stated that this step aims to both protect investors and create a transparent and secure environment in the cryptocurrency market.

The statement called on companies to expedite their license applications and align their business models with MiCA rules. The regulator stated that establishing a common standard across Europe would contribute to a more sustainable and reliable structure for the crypto sector.

Experts say Lithuania’s tough stance could set an example for other EU countries, and that regulatory pressure on crypto companies in Europe will increase towards 2026. This development is expected to force firms operating in the sector to adopt a more corporate structure.