Hungary repealed its crypto validator requirement after the National Bank of Hungary granted CoinCash the country's first MiCA license on July 20. The Hungarian parliament voted to remove the mandatory third-party approval for certain crypto transactions, which Finance Minister Kármán András stated had disrupted Hungary's crypto market and prompted some service providers to halt operations. The validator requirement was introduced through Hungary's 2024 crypto assets law and took effect on July 1, 2025, creating a separate approval process alongside the European Union's Markets in Crypto-Assets (MiCA) regulation.
Finance Minister Kármán András wrote in a Tuesday Facebook post that "many players have terminated their services related to cryptocurrencies in Hungary" due to the previous regulations. The Hungarian tax and legal publication Ado.hu reported the parliamentary vote on Tuesday. The repeal removes the transaction-level approval step while leaving broader licensing and compliance requirements in place.
Hungary Introduced Validator Requirement Through 2024 Crypto Assets Law
Hungary introduced the validator requirement through its 2024 crypto assets law. The rules took effect on July 1, 2025, and required a licensed validator to verify details including the origin of crypto assets, wallet ownership and customer information before issuing a compliance declaration.
The system added a transaction-level approval step alongside MiCA. Hungary applied a shortened MiCA transition period for crypto asset service providers (CASPs), requiring compliance by July 1, 2025, compared with the EU's maximum transition deadline of July 1, 2026.
Budapest-based crypto platform CoinCash voluntarily paused operations in December 2025 while pursuing MiCA authorization. The stricter regulatory environment prompted some crypto platforms to suspend services in Hungary.
National Bank of Hungary Granted CoinCash MiCA Authorization on July 20
The National Bank of Hungary granted CoinCash operator Tiwala Solutions authorization under the EU's MiCA regulation on July 20, according to a company announcement. CoinCash co-founder stated in a Friday LinkedIn post that the company is "the first and only Hungarian company authorised directly by the National Bank under the EU framework."
The authorization covers custody, crypto-to-fiat and crypto-to-crypto exchange, transfers, investment advice and portfolio management. CoinCash completed a months-long compliance review before receiving approval. The company paused operations while preparing to meet the requirements.
FAQ
What did Hungary repeal regarding crypto regulations?
Hungary repealed its crypto validator requirement, which mandated third-party approval for certain crypto transactions. The Hungarian parliament voted to remove this requirement after Finance Minister Kármán András stated the previous rules disrupted Hungary's crypto market.
When did CoinCash receive MiCA authorization from the National Bank of Hungary?
The National Bank of Hungary granted CoinCash operator Tiwala Solutions authorization under the EU's MiCA regulation on July 20. CoinCash is the first Hungarian company authorized directly by the National Bank under the EU framework, with authorization covering custody, crypto-to-fiat and crypto-to-crypto exchange, transfers, investment advice and portfolio management.
Why did CoinCash pause operations in Hungary?
CoinCash voluntarily paused operations in December 2025 while pursuing MiCA authorization. The company completed a months-long compliance review before receiving approval from the National Bank of Hungary on July 20.
