For several years in a row, Lithuania has been hailed as having excellent infrastructure for crypto and blockchain businesses. Lithuania’s name was repeatedly mentioned in one of the largest technology events with over 150 thousand participants – GITEX Global 2021 conference, which took place on October 17-21 in Dubai, UAE.
The conference brought together global leaders in the technology industry, startups, and future developers, including this year’s participants from companies such as Huawei, Red Hat, Cisco, Zoho, Zoom, Lenovo, Microsoft, and Lithuanian representatives. Lithuania was represented at the current GITEX Global conference by three Lithuanians: Laura K. Inamedinova, CEO of the marketing agency LKI Consulting, former Ellex Valiunas lawyer Paulius Vaitkevičius, now working with fintech and cryptocurrency businesses, and DailyCoin, a blockchain news agency, Editor in Chief and COO (head of government) Liucija Lenkauskaitė.
At the GITEX Global they participated in a discussion about the possibilities of crypto development in the Baltic countries titled “The Baltics: Pioneering Crypto” The discussion repeatedly referred to Lithuania as the industry’s leader.
Laura, the CEO of the marketing company LKI Consulting, moderated the discussion. Meanwhile, Paulius shared information about the latest legal changes in the Baltic States and why Lithuania is becoming increasingly appealing for new business ventures. Finally, Lucija shared her insights about the positive changes in the Baltic crypto and blockchain infrastructures.
During the discussion, the participants emphasized the main reasons why it is worth it to establish various crypto businesses in the Baltic countries. One of the most significant advantages, according to Paulius, is that it does not necessarily require such a large initial investment as in other European countries. Furthermore, business registration is extremely quick due to advanced technology, and it is not necessary to be in the country physically to start a business. Furthermore, in comparison to other countries, opening a new bank account in Lithuania and the other Baltic countries is really easy. Finally, because it is critical for Lithuania to demonstrate that it is possible to establish large, international businesses here, this sector receives a lot of support from the government.
According to Paulius, the Baltic countries focus on cryptocurrencies since other European countries are opposed to cryptocurrencies and blockchain technologies and strictly adhere to national legislation. The Baltic countries have a different perspective on this issue. They market themselves as a welcoming environment for new companies entering these markets.
Of course, each Baltic country’s story is unique. According to Paulius, Estonia has been very welcoming to blockchain businesses for many years. This was because the Estonian licensing procedure was straightforward and efficient. However, with the subsequent implementation of new anti-money laundering regulations, Estonia has adopted a very strict stance. As a result, many businesses have been unable to keep up with the new requirements and have begun to look for new ways and friendlier environments to conduct business.
As a result, Lithuania has emerged as an effective alternative. According to Lucija, Lithuania is currently quickly embracing new technology. As a result, many diverse players come to Lithuania to build and launch their businesses. In addition, Lithuania draws significant European players since the procedures are quick and straightforward, allowing people to launch a business in only a few weeks.
According to Lucija, Lithuania is highly welcoming in terms of crypto business legislation, and new technologies are continuously being implemented here. According to her, these companies are expanding fast in Lithuania due to the lack of such infrastructure in neighbouring Estonia and Latvia. Estonia has significantly tighter restrictions, and Latvia is just getting started in this industry.
Moreover, the growth of these enterprises in Lithuania is aided by a welcoming climate, excellent collaboration with banks, and quick communication and geographical location. Therefore, the interviewees believe Lithuania is an excellent location for Eastern European countries to establish enterprises that can then be expanded to other European countries.