Hungary Scraps Crypto Validator Rule as CoinCash Secures First MiCA License

Hungary is easing its strict crypto regulations, repealing a mandatory third-party validation requirement just as local platform CoinCash becomes the country’s first company authorized under the European Union’s MiCA framework.

Parliament Removes Validator Requirement

Hungarian lawmakers voted to eliminate the country’s crypto validator rule, which had required independent approval for certain crypto transactions. Finance Minister Kármán András said the requirement was scrapped after previous regulations disrupted the local crypto market, pushing some providers to halt operations. He noted the market is now showing signs of recovery following the rollback.

How the Original Rules Worked

Introduced through Hungary’s 2024 crypto asset law and effective from July 2025, the validator system required licensed reviewers to confirm details such as asset origin, wallet ownership and customer identity before approving transactions. This added an extra compliance layer on top of MiCA requirements, and Hungary had also set an earlier compliance deadline than most EU countries.

CoinCash Becomes First Licensed Provider

The stricter rules led some platforms, including Budapest based CoinCash, to pause operations voluntarily while pursuing MiCA authorization. On July 20, Hungary’s central bank granted CoinCash’s operating company official authorization, making it the first Hungarian firm approved directly under the EU framework. The license covers custody services, crypto-to-fiat and crypto to crypto exchanges, transfers, investment advice and portfolio management. CoinCash said it plans to gradually resume operations and expand into additional regulated services.