Hungary is rolling back strict cryptocurrency rules as CoinCash prepares to resume services after receiving authorization under the EU’s Cryptocurrency Markets Regulation (MiCA).
The Hungarian Parliament voted to repeal cryptocurrency validator requirements, removing mandatory third-party consent for certain cryptocurrency transactions, Hungarian tax and legal publication Ado.hu reported on Tuesday.
Finance Minister Kármán András said the government removed the validation requirement after previous regulations disrupted the Hungarian cryptocurrency market, prompting some service providers to halt operations in the country.
“Due to the negative and market-shattering regulations so far, many players have stopped providing cryptocurrency services in Hungary, but the market is now showing signs of recovery,” he added. he wrote in a Tuesday Facebook post.
This development marks a significant change in the Hungarian cryptocurrency sector, removing the additional approval step while leaving in broader licensing and compliance requirements.
How Hungarian cryptographic controls worked
Hungary introduced this requirement under the Cryptocurrency Assets Act 2024, creating a separate verification process for certain cryptocurrency conversions.
The rules, which came into effect on July 1, 2025, required a licensed validator to check details including the origin of crypto assets, wallet ownership and customer information before issuing a declaration of compliance.
Related: Hungary withdraws crackdown on cryptocurrency trading following EU scrutiny
In addition to MiCA, the system added another approval step at the transaction level. Hungary too applied a shortened MiCA transition period for crypto asset service providers (CASPs), requiring compliance by July 1, 2025, compared to the maximum EU transition deadline of July 1, 2026.
The tighter regulatory environment has prompted some crypto platforms to suspend services in Hungary, including Budapest-based cryptocurrency platform CoinCash, which voluntarily suspended operations in December 2025 as part of its application for MiCA authorization.
CoinCash receives the first MiCA license in Hungary
According to a company announcement verified by Cointelegraph, on July 20, the National Bank of Hungary (MNB) granted authorization to the CoinCash Tiwala Solutions operator in accordance with the EU MiCA regulation.
“We are the first and only Hungarian company authorized directly by the National Bank within the EU” – co-founder of CoinCash he said in a Friday LinkedIn post.
Related: Unauthorized cryptocurrency trading is currently punishable by 2 years in prison in Hungary
The authorization covers custody, cryptocurrency-to-fiat and cryptocurrency-to-crypto exchanges, transfers, investment advice and portfolio management.
CoinCash said it completed a months-long compliance review before receiving approval and paused operations as it prepared to meet the requirements. The company plans to gradually resume services and expand beyond trade to include additional offerings regulated by MiCA.
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