Lithuania works on cryptocurrencies regulations
The director of the financial markets firm ensured that a transparent legal environment for the exchange of digital assets was applied
It was known that Lithuania is evaluating the possibility of applying legal initiatives which will serve as a way to initiate a process of cryptocurrencies regulation.
A report prepared by a news agency picked up the statements of the director of Sigitas Mitkus, the financial markets policy department of the Ministry of Finance.
“We want to create a transparent legal environment for digital currency exchanges, deposit wallet operators and ICO initiators. We also want to contribute to guarantee better consumer protection,” said the director.
This regulation would establish that only legal entities, together with their branches, may act as cryptocurrency operators as long as they are registered in the Registration Center.
These should be governed by the Law on the Prevention of Money Laundering and the Financing of Terrorism, and also introduce an identity verification procedure. In addition, large financial transactions must be reported to the Financial Crimes Investigation Service.
On the other hand, Miktus indicated that these regulations will contain the possibility of converting cryptocurrencies into fiat money, and vice versa.
“By introducing limits for financial operations, we go beyond the EU directive and will probably become the first in the world to implement the recommendations of the FATF (International Financial Action Task Force) and apply the requirements, not only to the conversion of digital currencies to traditional ones and vice versa, but also when converting one virtual currency into another, “he explained.
K. Tovar
Source: Coincrispy
