Hungarian regulations on crypto assets have undergone major reforms. The most notable developments are the MiCA Regulation and Act VII of 2024 on the Market of Crypto Assets. The new framework, effective July 1, 2025, introduces stricter conditions for crypto-related services and imposes enhanced licensing and reporting obligations on service provide
Key Highlights
🔹 MiCA Regulation
Establishes unified rules across the European Union for:
- Issuers of crypto assets
- Providers of related services
🔹 Act VII of 2024 on the Market of Crypto Assets
Incorporates into Hungarian law:
- Mandatory licensing for crypto asset service providers
- Strict disclosure requirements
- Client protection protocols
🔹 Licensing Requirements
As of July 1, 2025, crypto-related services can only be performed by licensed providers.
🔹 Taxation
- Since 2022, gains from crypto transactions are subject to a 15% personal income tax.
- The tax base is calculated by aggregating all profits and losses from transactions conducted within the tax year.
🔹 Anti-Money Laundering (AML) Regulations
AML rules also apply to crypto asset service providers, requiring:
- Stricter oversight
- Mandatory reporting
🔹 Crypto Asset Advisory Services
Only individuals with specific qualifications and relevant experience may provide advice or information on crypto assets.
Concerns and Challenges
- There are uncertainties in interpreting the new legal provisions.
- Some argue the regulation is overly restrictive, potentially hindering crypto activities.
- Higher administrative burdens and costs are expected for service providers.
- Investors must be increasingly mindful of the risks associated with cryptocurrency investments.
Important Notes
✅ The regulations aim to enhance the transparency and security of the crypto asset market.
✅ The legal environment around crypto assets is constantly evolving, making it crucial to stay informed.
✅ Legal consultation is recommended before engaging in any crypto-related activities.