LITHUANIA Law and Practice Contributed by: Donatas Šliora and Marius Matiukas, ADON legal
ADON legal J. Jasinskio g. 12 Vilnius 01112 Lithuania
Tel: +370 620 237 07 Email: info@adon.legal Web: www.adon.legal
1. Fintech Market 1.1 Evolution of the Fintech Market Lithuania has become a significant hub for fin - tech innovation in Europe. With a conducive reg - ulatory environment, supportive government ini - tiatives and a growing talent pool, the country’s fintech sector continues to see notable growth. While the increase in the number of regulated fintech companies has slowed slightly, the focus has shifted towards sustainable expansion and greater maturity within the sector. According to the “Fintech Landscape in Lithuania 2023–24 Report” released by Invest Lithuania, the coun - try now boasts over 270 fintech companies, employing around 7,400 individuals. The Fintech Strategy 2023–2028 adopted by the government of Lithuania emphasises quality, risk manage - ment and attracting high-value-added fintech leaders; this indicates a move away from solely rapid growth towards sustainability and sector resilience. Lithuanian fintechs are increasingly specialising in specific niches, such as payments, regtech and financial solutions for SMEs. This leads to a greater depth of expertise and drives innovation. A growing number of fintech companies cater specifically to businesses, providing services
such as payment infrastructure, open banking solutions and regulatory compliance tools. Local Regulatory Developments Lithuania’s regulatory developments are deter - mined by broader EU trends. The main focus is the implementation of the EU’s Regulation on markets in crypto-assets (MiCA) and the EU’s Regulation on digital operational resilience for the financial sector (DORA) by developing imple - menting regulations and procedural rules. EU Regulatory Developments The implementation of EU-wide regulations such as MiCA and DORA are of paramount impor - tance, setting new standards for crypto-asset regulation and strengthening cybersecurity and Rising threats demand robust cybersecurity measures and fraud prevention strategies to protect user data and assets. Sustainability focus Fintech solutions that address environmen - tal, social and governance (ESG) concerns are expected to receive increasing attention and investment, aligning with Lithuania’s commit - ment to a sustainable financial sector. operational resilience requirements. Cybersecurity and fraud prevention
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