Hungary Enacts Prison Terms for Using Unauthorized Crypto Exchanges

Hungary has introduced strict new laws targeting individuals and providers engaging in crypto trading outside approved platforms, adding prison terms to its enforcement tools as it tightens control over digital assets. As of July 1, Hungarians using an “unauthorized crypto-asset exchange service” can face up to two years in prison for trades between 5 million and 50 million forints ($14,600 to $145,950). For transactions exceeding 50 million forints, the penalty can rise to three years, and for trades above 500 million forints ($1.46 million), up to five years in prison may apply under the updated Criminal Code. Crypto Service Providers Face Heightened Risk The new law also imposes criminal penalties on crypto service providers operating without authorization, with up to three years in prison for trades under 50 million forints. This escalates to five years for trades up to 500 million forints and up to eight years for transactions above that threshold. Hungary’s Supervisory Authority for Regulatory Affairs (SZTFH) has been granted 60 days to establish compliance frameworks to align with the legislation, but no interim guidance has been provided, creating uncertainty for crypto companies operating in the country. Local outlet Telex reported that this has led to confusion among crypto businesses serving Hungarian users, many of whom are unsure about immediate compliance requirements under the new regime. These measures are part of Hungary’s newly defined offence for “abuse of crypto-assets,” positioning unauthorized crypto exchange use as a criminal act and aligning the country with the EU’s stricter approach toward unregulated crypto activities. Revolut Partially Resumes Crypto Services in Hungary The introduction of the law has already prompted operational shifts from major players. UK-based fintech firm Revolut initially suspended all crypto-related services in Hungary, including crypto withdrawals, citing the “recently introduced Hungarian legislation.” A notice on Revolut’s Hungarian website earlier this month indicated it had no timeline for reinstating services. However, local reports on Monday confirm that Revolut has since resumed crypto withdrawals while halting new crypto transactions for now. The fintech company also noted that its EU branch is working to secure a crypto license within the European Union , suggesting it aims to restore full services in Hungary once it aligns with new compliance demands. The post Hungary Enacts Prison Terms for Using Unauthorized Crypto Exchanges appeared first on TheCoinrise.com .

Source: The Coin Rise