Hungary Rolls Back Restrictive Crypto Trading Rules After EU Scrutiny

Hungary's government has announced plans to reverse restrictive crypto trading rules introduced last year. The new regulations, which exposed traders to criminal penalties for certain conversions, had significantly diminished market activity.

The rules, part of Hungary's 2025 crypto framework, required approved validation for crypto-to-fiat and crypto-to-crypto conversions. Those failing to comply faced up to eight years in prison for transactions above 500 million Hungarian forint ($1.6 million).

The reversal comes after the EU launched a probe into whether Hungary's restrictions were compatible with bloc rules. Several digital asset platforms, including Revolut, suspended crypto services in Hungary due to the regulations.