Lithuania Tightens Crypto Reporting Rules Under EU Framework

Lithuania has tightened reporting requirements for crypto service providers, expanding the customer and transaction data firms must collect as the European Union implements its digital-asset tax framework.

The rules, established through VA-63, require regulated crypto service providers and local crypto operators to strengthen customer due diligence and record user identification, transaction activity and tax-residency information. Firms must also maintain customer identification numbers, transaction logs and account balances.

The changes align Lithuania’s national procedures with the European Union’s DAC8 reporting rules and the Organization for Economic Co-operation and Development’s Crypto-Asset Reporting Framework. Entities that are already registered and meeting reporting obligations in another EU member state can avoid filing the same information again in Lithuania.

EU-wide operational reporting began Jan. 1, 2026. Information collected by platforms during 2027 is scheduled to be exchanged automatically among member-state tax authorities starting in mid-2027.

Lithuania’s virtual-asset capital gains tax rate remains unchanged. Crypto firms affected by the rules must update customer onboarding processes and back-office systems to handle the expanded reporting requirements.

Separate rules that took effect March 2 require additional payment-services authorization for some transactions involving electronic money tokens. The requirement covers transfers made on behalf of customers and custodial wallets that support transfers to third parties.

Exchanging one electronic money token for another, or converting an electronic money token into fiat currency, does not automatically qualify as a payment service.