Hungary plans to decriminalize cryptocurrency trading after Orban’s departure (report)

Previous measures included possible prison sentences for some violations.

It has been nearly two months since Hungary’s pivotal elections, in which Viktor Orbán’s 16-year term finally ended, as the country demonstrated a clear shift towards the West.

The new government has taken several steps to neutralize some of the controversial policies pursued by the previous administration, and the local cryptocurrency space could be among the beneficiaries.

Rules against cryptocurrency trading were introduced by the Orbán administration in 2025. They required the validation of transactions that convert digital assets into traditional currency and cryptocurrency exchanges into cryptocurrency. More controversially, the rules included potential prison sentences in some extreme cases for violations.

Forbes reported at the time He claimed Transactions worth more than $140,000 (50 million forints) carry a prison sentence of up to three years. The largest transactions, worth more than $1.4 million (500 million forints), can result in five years in prison.

Many popular trading platforms have been forced to leave the country or greatly restrict their services to local residents. Although the European Union opened an investigation to determine whether these restrictions comply with its regulations, domestic trade volumes fell before the change of administration earlier this year.

According to a new report by Bloomberg, the new government has done just that decided To raise the threat of imprisonment and criminal charges for using unauthorized exchanges or making incompatible transactions from cryptocurrencies to cryptocurrencies and from cryptocurrencies to fiat currencies.

Government spokeswoman Anita Kobol said Hungary will dismantle “validation certificate” requirements at the transaction level and plans to align the domestic market with the EU Markets in Cryptoassets (MiCA) framework.