Hungary Scraps Crypto Verification Policy After CoinCash Secures MiCA License

Hungary has repealed its strict policy requiring crypto transactions to be verified by an independent party. This move aligns the country's regulations more closely with the European Union's Markets in Crypto-Assets (MiCA) regime.

The change comes as CoinCash, a Budapest-based operator, has become the first entity to secure a MiCA license in Hungary from the National Bank of Hungary on July 20. This license allows for services such as custody, exchange between crypto and fiat currencies, transfer, investment advice, and portfolio management.

The Hungarian Parliament introduced legislation removing the mandatory validation requirement for some cryptocurrency operations, citing that it contradicted EU regulations. The Finance Minister Kármán András stated that the regulation had a significant impact on the crypto landscape in Hungary, causing many service providers to stop their operations.