Hungary Tightens Measures Against Illegal Crypto Trading
Date: 2025-07-16 Author: Gabriel Deangelo Categories: IN WORLD
Now, illegal use of crypto services in the country is equated to a crime and can result in imprisonment. According to the new rules, individuals who make transactions through unauthorized platforms risk spending up to two years behind bars. If the transaction amount exceeds 50 million forints (approximately $140,000), the term can be up to five years. For operators and managers of illegal platforms, the punishment is even stricter - up to eight years in prison.
Telex journalists emphasize that the introduction of such harsh rules has sowed panic among Hungarian investors and consultants. Many do not understand how to act, because storing already purchased cryptocurrencies is not yet considered a crime, but it is impossible to sell or exchange assets legally. Experts note that the situation resembles drug legislation: you can own it, but you can’t sell it.
A particular concern is that the new regulations do not explain how you can legally transact with digital assets. Until the Regulated Activities Supervision Authority (SZTFH) prepares additional instructions, the country has virtually no mechanism for legally transacting with crypto assets. This means that about half a million Hungarian token holders find themselves in a legal vacuum.
A source at Telex, who wished to remain anonymous, said that such restrictions look especially strange against the backdrop of the EU policy, which is working on uniform standards for the crypto market and does not introduce such strict bans. Unreasonable criminalization can only push investors to shadow schemes and drive the market underground.
The consequences of the new rules were not long in coming: neobank Revolut announced the suspension of all operations with digital assets for its users from Hungary. Clients were deprived of the opportunity to transfer or sell tokens, and the blocking period has not yet been determined. At the same time, other banking and currency services of Revolut will be available without restrictions.
Earlier, the Hungarian authorities announced their intention to allow national banks and investment funds to offer cryptocurrency services to private and corporate clients. However, it is now obvious that without clear regulation and transparent instructions, the market risks remaining in a state of paralysis.
As analysts note, the lack of clear standards and tougher penalties may slow down the development of fintech in Hungary and set the country back in matters of integrating crypto technologies. In the meantime, investors can only hope for a speedy clarification of the rules and the emergence of legal instruments for trading digital assets.
