Due to new regulations coming into force, owning and trading crypto assets is becoming more regulated for legal entities, both in Estonia and across the European Union. The main change for legal entities is the requirement to use a LEI code, so that financial supervisory authorities can unambiguously identify the party who conducted a transaction.
What is a LEI code?
LEI (Legal Entity Identifier) is a global identifier for legal entities, consisting of a 20-character alphanumeric code. The LEI code is unique — it is assigned to a company once and cannot be reassigned to another company. It is important to note that the LEI code does not replace the Estonian Business Register code.
Why is a LEI code necessary?
Companies authorised to provide crypto asset services (e.g. LHV Bank) are required to identify their legal entity clients and, where necessary, report their transactions to supervisory authorities using the LEI code. If a legal entity client does not have a LEI code, the bank is unable to fulfil its statutory obligation. As a result, from 1 April 2026, LHV will be unable to execute transactions for legal entities that do not have a LEI code. We are restricting new purchases for clients without a LEI code already from 03.03.2025, to avoid a situation where a client unknowingly purchases a small amount of crypto assets and later needs to obtain a LEI code in order to sell them. Sales transactions without a LEI code will be possible until the end of March.
How to apply for a LEI code?
A LEI code can be obtained from authorised organisations, for which up-to-date information can be found on the website of the Global Legal Entity Identifier Foundation (GLEIF). There are several providers and the choice is yours. If you wish, you can also order a LEI code through LHV.
Issuing a LEI code is subject to a fee and comes with an annual maintenance charge. Prices may vary significantly depending on the service provider.
How to add a LEI code in LHV?
Once you have received your LEI code, it must be added under your company's details in the Internet Bank or mobile app. In the Internet Bank, you can do this under "Info and settings" → "Details" → "LEI code". In the mobile app, the relevant field can also be found under the company's details. If you are using the LEI code management service provided by LHV, the necessary information will be added to your company's details automatically.
If you have any questions, you can find more information and answers on the LHV website.