The permit authorizes the platform to conduct services in exchange for digital currencies; moreover. it can provide and administer crypto custodial wallets in Lithuania.
Cake is celebrating its third anniversary with this achievement; it aims to provide users with a secured platform with a regulated environment. Besides, it can be predicted that Lithuania’s license will facilitate the registration and authorization in other member states of the European Economic Area (EEA).
Moreover, this will boost future conversion into an EU-wide crypto-authorization; with the enforcement of the EU Market in Crypto-assets (MiCA) Regulations. Anticipated to be effective in 2024, the MiCA framework will grant Passporting Rights for crypto licenses; hence, platforms that abide by the terms of the framework will receive the rights.
However, Cake isn’t the first crypto company to achieve an operating license in Lithuania. The world’s leading crypto exchange company, Binance, and digital asset investment platform, ONUS Technologies, are among the numerous crypto companies that have recently acquired crypto licenses in Lithuania.
Remarks from The Board
While announcing the achievement of Lithuania’s license, Cake DeFi’s CEO and Co-Founder, Dr. Julian Hosp, commented that he is beyond proud of the hard work his team has put in to meet the stringent criteria of the financial regulatory bodies in Lithuania; moreover, he added that he wants to protect their users with solid anti-money laundering policies.
The license from Lithuania is a milestone in their ongoing journey to become fully licensed and regulated in their key global markets.
Since its inception in 2019, Cake has been focusing on providing efficient financial services and financial inclusion. Recently Cake was in the news for paying out $317 million in rewards to its customers for Q1, 2022.