Hungary's new government is decriminalizing crypto trading, reversing a restrictive framework from the Viktor Orbán era that imposed jail terms of up to eight years for unauthorized transactions. The old rules, which took effect in July 2025, led platforms like Revolut to exit the country and triggered an EU probe. The new Tisza Party government aims to align with the EU's MiCA regulations to attract businesses back.
Hungary crypto decriminalization reversal
- ▪The Hungarian government has not yet set a timeline for when the legislative changes will take effect
- ▪Hungary's new government is decriminalizing crypto trading, reversing a restrictive framework introduced under former Prime Minister Viktor Orbán
- ▪The new administration plans to align national law with the EU’s Markets in Crypto-Assets (MiCA) regulation
- ▪The policy reversal was announced by government spokesperson Anita Köböl on June 11, 2026
- ▪The government has identified Estonia as a template for rebuilding Hungary’s digital regulatory environment
Criminal penalties for unauthorized trading
- ▪The Orbán-era rules, which took effect on July 1, 2025, criminalized the use of unlicensed exchanges and certain unauthorized crypto transactions
- ▪Individuals faced up to two years in prison for unauthorized transactions between 5 million and 50 million forint (about $16,000 to $160,000)
- ▪Penalties increased to five years for transactions between 50 million and 500 million forint, and up to eight years for transactions above 500 million forint
- ▪Service providers operating without a central bank license faced sentences of up to eight years in prison
Compliance certificate validation requirements
- ▪The framework created a new entity, a "crypto conversion validation service provider," which required authorization from Hungary’s Supervisory Authority of Regulated Activities
- ▪The 2025 law required an approved compliance certificate for both crypto-to-fiat and crypto-to-crypto conversions
Platform suspensions in Hungary
- ▪The rules contributed to a decline in domestic crypto trading activity and prompted a European Union probe into their compliance with bloc-wide regulations
- ▪The restrictive regulations led platforms including Revolut to suspend their crypto services in Hungary
Tisza government policy shift
- ▪Zoltán Tanács, Hungary’s Minister of Science and Technology, characterized the previous rules as “politically motivated” rather than necessary market safeguards
- ▪Government spokesperson Anita Köböl stated the previous legislation "made practical operation impossible and frightened the market participants."
- ▪The policy shift follows the April 12, 2026, parliamentary election, which ended the 16-year rule of Viktor Orbán and brought Peter Magyar’s Tisza Party to power
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