There are currently several financial service providers, however, only a few are authorized to operate in the European Union. An example of this is CASPs (Crypto Asset Service Providers), which offer cryptocurrency-related services and operate under the regulations implemented by the European Union’s Markets in Cryptoassets Regulation (MiCA). Below, we’ll discuss some points to consider when choosing a CASP provider in Lithuania.
Licenses and authorization
When choosing a CASP provider in Lithuania, it is important that the provider holds the appropriate licenses and authorizations, both in Lithuania and in the European Union. This will determine whether the provider is capable of offering a legal and high-quality service. An example of this is compliance with the European MiCA regulation and the security, governance, and financial stability requirements to obtain the CASP license.
Experience and reputation
It is important to take into account the experience and reputation of the supplier, since it is a factor that allows us to know the trajectory of the company and the quality of its products or services. To investigate the reputation of a supplier, we can review their user reviews (for example, on application platforms such as Google Play and the App Store) in addition to reviewing their regulatory reports and customer comments in different online communities.
Another point to consider in this regard is the supplier’s length of operation or number of years of experience. For example, a supplier with more than five years of experience will be more reliable than a supplier with only three or four months of operation.
Types of services
It is essential to know the different services offered by the provider, since there are “complementary” financial services that can improve our user experience and adapt to the needs of our organization. Among the services that CASPs can offer, the most notable are exchange services, cryptocurrency custody, and digital wallet management, among others.
Cross-border operations
It is important for the CASP provider to have a proven track record in international transactions, especially if you will be operating in markets outside the EU (e.g., Asia or the Americas). Importantly, a good CASP must comply with AML/CFT requirements for cross-border transactions, such as reporting recurring payments that exceed the thresholds established by the Markets in Crypto-Assets Regulation (MiCA).
Multilingual support and accessibility
It’s recommended to choose a provider that offers support in multiple languages (especially in the language of interest) and offers 24/7 customer service, as this is key to serving clients in different countries and resolving various situations or issues. Another point to consider is the accessibility of the provider’s platform, which should be intuitive and easy to use. If the platform is unfriendly or difficult to use, you won’t be able to take full advantage of all its tools and features.
Presence in Lithuania
When choosing a CASP provider in Lithuania, it’s important that the company has a presence in the country. This way, you can be sure that the provider can offer solutions tailored to the needs and challenges of the region: permits, cultural environment, regulations, etc. This will also ensure that the provider has the capacity to resolve any problems or setbacks that may arise in the future.
What do you think about this topic? Would you like to learn more about Pilsenga’s CASP service?
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