What happened
The Estonian Financial Intelligence Unit (FIU) has confirmed that the transitional period for providers of crypto asset services is ending. From 1 July, crypto asset services in Estonia may only be provided by companies that hold an authorisation issued by Finantsinspektsioon, or by the supervisory authority of another European Economic Area (EEA) state, under the EU’s Markets in Crypto-Assets Regulation (MiCA). On the same date, the FIU will cancel the register data for the legacy virtual currency service licences that have operated until now.
The scale of the clean-up is striking. According to the FIU, there were 641 valid licences when it began tightening the sector in mid-2021; by the start of 2026 only 36 remained. As Head of the FIU Matis Mäeker noted, risks could not be managed through anti-money laundering documentation alone — supervision of how client assets are safeguarded and of cyber resilience was also required. Finantsinspektsioon management board member Gerd Laub framed MiCA as a uniform, transparent framework across the EEA that supports fair competition, conscious risk management, and client protection.
What it means in practice
The old anti-money-laundering registration model is finished. Going forward, only a MiCA authorisation — whether granted in Estonia or passported from another EEA state — permits lawful provision of crypto asset services to clients in the EEA. Providers without an authorisation fall outside financial supervision entirely, and MiCA’s requirements do not apply to them, which in practical terms means they cannot legally serve the market.
The FIU is explicit about the operational limits. From 1 July, a company without an authorisation may not accept new clients, open new accounts, or actively market its services to clients in the EEA. Companies still in the application process must limit their activities until a final decision is issued. Those that have not obtained an authorisation must cease or limit operations so that clients’ interests are protected and no unjustified financial harm is caused.
So far, the market is thin: only Lightspark Payments Europe AS has received a Finantsinspektsioon authorisation. Crypto asset services may also be offered by AS LHV Pank and the investment firm Lightyear Europe AS, and several providers operate cross-border in Estonia under authorisations from other EEA states.
Implications for licensees and applicants
For businesses, the message is clear: legacy status confers nothing after 1 July. If you held a virtual currency service licence and have not secured a MiCA authorisation, your ability to operate in Estonia and the wider EEA stops. If you are mid-application, plan for a constrained wind-down of activity in the interim.
There are also continuing obligations that outlast the licence cancellation. The FIU stresses that all companies that provided virtual currency services in the second quarter — including those whose licences have been cancelled — must submit their regular reports through the Eesti Pank data submission portal by 20 July. Authorised providers remain obliged entities under the Money Laundering and Terrorist Financing Prevention Act and must report suspicious transactions to the FIU.
Concrete next steps
- Confirm your legal basis. Verify whether you hold, or can passport, a valid MiCA authorisation. If not, you cannot lawfully serve EEA clients from 1 July.
- Manage the wind-down or limitation. If unauthorised, stop onboarding, halt new accounts, and cease active marketing. Inform clients clearly and in good time about how services will be terminated or limited, the deadlines, and how they can withdraw or transfer assets to an authorised provider.
- Meet residual reporting duties. File any outstanding regular reports via the Eesti Pank portal by the 20 July deadline.
- Plan your authorisation route. If you intend to continue, engage on your MiCA application and prepare for supervision covering asset safeguarding and cyber resilience. Structuring a compliant crypto / VASP license in Estonia under MiCA is now the only viable path to serve this market.
- Check the register. Clients and counterparties can verify authorisation status via the Finantsinspektsioon register of market participants.
