Hungary’s parliament has voted to repeal a mandatory third-party validation rule for crypto transactions, a regulation that had been in place since July 1, 2025. The rule required licensed validators to examine asset origins, wallet ownership, and user information before issuing compliance certificates for certain conversions. The repeal, driven by a new government following the April 2026 elections, removes this extra layer of scrutiny, aligning the country more closely with the European Union’s MiCA framework.
Simultaneously, CoinCash, operated by Tiwala Solutions, secured Hungary’s first MiCA authorization from the National Bank of Hungary on July 20. The license covers custody, crypto-to-fiat exchanges, transfers, investment advice, and portfolio management. CoinCash had voluntarily suspended services in December 2025 to restructure for compliance. The company now plans a gradual return to market, offering custody, trading, and advisory services.
The previous validation system had caused significant market disruption, with several businesses suspending operations or moving to other European markets. The new administration also removed related criminal offences, which had carried prison sentences of up to eight years for unauthorized trading. As a result, Hungary’s crypto landscape is expected to see increased adoption and a return of service providers, now under a clearer EU-aligned regulatory structure.
