The Bank of Lithuania has issued a warning to domestic crypto asset service providers, mandating that they obtain a license by December 31 to avoid operating illegally. Starting January 1, any entity that continues to onboard new users, receive crypto assets, or provide services without Markets in Crypto-Assets (MiCA) authorization will be considered to be engaging in illegal financial activities. Entities failing to comply with the licensing requirement may face severe penalties, including fines, website blocking, and imprisonment for up to four years. This move underscores the central bank's commitment to regulating the crypto sector and ensuring compliance with European Union standards.