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Hungary's strict encryption regulations take effect, Revolut suspends services, violations can lead to up to 8 years in prison.
[Bitpush] Hungary has enacted one of the world's strictest legislations on Crypto Assets, which has caused widespread confusion and concern in the fintech sector after coming into effect on July 1. The new regulations have forced large fintech companies to suspend services, with the Digital Bank Revolut announcing "immediate suspension of Crypto Assets services in Hungary."
New legislation introduces two criminal offenses: 1. Harsh penalties for using unauthorized services and operators (up to two years in prison for basic transactions; up to three years in prison for "particularly high-value" transactions exceeding 50 million Hungarian Forint; up to five years in prison for transactions exceeding 500 million Forint); 2. Service providers operating without proper authorization will face harsher penalties, with larger-scale operations potentially receiving a sentence of eight years in prison.