Hungary Ditches Third-Party Crypto Verification

Hungary has made a significant move in its regulatory stance towards cryptocurrency by abolishing the mandatory third-party verification requirement for certain crypto trades.

The change, which was passed into law on July 28 and reported by Cointelegraph on July 29, eliminates a separate verification procedure that had applied to some cryptocurrency transactions. This means that users will no longer be required to obtain certification from an authorized institution verifying the source of funds, wallet ownership, and customer information for these specific trades.

Finance Minister Kármán András stated that the government removed this requirement because it had previously hurt the crypto market, leading many operators to end their services in Hungary. However, with the removal of this rule, the market is now recovering.