Hungary drops mandatory crypto conversion checks, hands CoinCash first MiCA license
Regulation & Gov ·
The change removes a requirement for third-party verification of crypto conversions while making CoinCash's operator the first firm licensed under the EU's Markets in Crypto-Assets framework in the country.
Hungary has repealed its mandatory third-party validation requirement for crypto-to-fiat conversions, according to Cointelegraph, while simultaneously granting the country's first license under MiCA to Tiwala Solutions, the operator behind CoinCash. The two moves arrive together, pairing a reduction in domestic compliance friction with the formal rollout of the EU-wide licensing regime inside Hungary.
MiCA is the EU's directly applicable rulebook for crypto-asset issuers and service providers, covering stablecoins, exchanges, custodians, and related intermediaries under a single set of standards across member states, as detailed in an explainer on the regulation. Because MiCA takes effect uniformly without requiring separate national transposition laws, a license granted in one member state is intended to carry weight across the bloc, which is part of why the first Hungarian award to CoinCash's operator is notable rather than a purely local development.
The removal of Hungary's third-party validation mandate suggests domestic authorities are recalibrating older, nationally specific compliance layers as MiCA's harmonized supervisory structure takes over that function. Rather than requiring an independent check on each conversion transaction, oversight of licensed entities like Tiwala Solutions would now run through the MiCA framework itself, which imposes its own disclosure, prudential, and governance requirements on intermediaries.
The development sits within a broader wave of MiCA-related licensing activity across the EU. Other firms have pursued similar approvals for stablecoin and custody services, and separate reporting has tracked entities securing MiCA and complementary licenses to operate across multiple jurisdictions, according to WuBlockchain. Hungary's move effectively adds one more data point to that pattern of national regulators aligning local rules with the bloc-wide regime as MiCA implementation matures.
What remains unclear is how other Hungarian crypto firms will be affected by the repeal of the conversion-check requirement, and whether additional licenses will follow Tiwala Solutions' award in the near term. Also unresolved is whether Hungary's approach — pairing deregulation of a national-level check with adoption of the EU framework — will be mirrored by other member states still finalizing their own transitions to MiCA-based supervision.