By the end of 2025, cryptocurrency service providers in Lithuania must obtain MiCA licenses, with only 120 out of 370 registered companies actually operating.

[Bitu] The Bank of Lithuania recently clarified the compliance timeline for cryptocurrency service providers. According to the regulations, all VASPs (Virtual Asset Service Providers) must obtain the CASP license under the MiCA framework by December 31, 2025, or they will be forced to cease operations.

What does this mean? Service providers without a license must completely cease operations—no longer able to acquire new users, and the assets and funds of existing clients must be properly returned, without exception.

According to the data, the approval progress of the Bank of Lithuania is as follows: As of mid-July, about 30 companies submitted applications for encryption asset service provider licenses, of which 10 are still in the assessment stage, meaning that 20 have passed. However, the overall market situation is more complex—over 370 companies have registered with the national business registry, which looks lively, but in reality, only 120 are actually operating and generating revenue, submitting financial statements, while most of the rest may be “zombie companies.”

This wave of cleaning appears strict, but in reality, it is also forcing the industry to become more standardized. For companies that operate in compliance, it is actually a positive thing, as there are fewer competitors.