News: Innovative system for remote registration of non-resident companies in the EU

Starting from next year, foreign companies will be able to remotely register enterprises in the territory of the European Union and manage them with the help of blockchain system.

Such an idea of establishing the system was approved by the Central Bank of Lithuania. Marius Jurgilas, as member of the board of the bank, states that now the regulator is engaged in dealing with blockchain solutions LBChain, tending to support the sphere of financial technologies.

Introduction of LBChain will be one of the steps to achieve more ambitious goal - creation of LTChain system, enabling to transfer important social services for operation using blockchain technology.

According to analysts of Lithuanian agency Invest Lithuania, such an opportunity will attract companies from the United States of America, Israel, Singapore, as well as other non-residents of the European Union.

"Fintech companies can already obtain a license of Payment Institution or Electronic Money Institution within three months in Lithuania, and the foregoing indicated term is the fastest among the EU countries," notes Mantas Katinas, Managing Director of Invest Lithuania.

Both small and large enterprises listing shares on stock exchanges will be able to use  new blockchain system. Such companies, according to the law of Lithuania, will be referred to legal entities. Filing of financial statements and payment of taxes will be mandatory conditions for conducting business in the territory of the jurisdiction.

If necessary changes are made to the legislative framework, organizations from around the world will be able to register virtual companies in Lithuania as early as 2019.