Hungary's new encryption law takes effect, with illegal transactions punishable by up to 8 years in prison.

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Odaily News Hungary officially implemented new cryptocurrency legislation starting July 1, prohibiting any unlicensed digital asset trading activities. Individuals using unlicensed encryption services can be sentenced to up to 2 years in prison; for single transactions exceeding 50 million forints (approximately 140,000 USD), the sentence can reach 3 years, and for amounts exceeding 500 million forints, the maximum sentence can be 5 years. For unlicensed service providers, the maximum sentence can reach 8 years. According to reports, the fintech platform Revolut has announced the suspension of its crypto assets services in Hungary. Local media pointed out that about 500,000 Hungarians had invested in crypto assets through legal income, and the details of regulatory enforcement have not yet been clarified. (Forbes)

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