Hungary Criminalizes Unauthorized Crypto Trading Amid Global Regulatory Divergence

Hungary has taken a draconian turn in crypto regulation, imposing prison sentences for unauthorized trading. The July 2025 law targets both platforms and users, creating panic among holders who fear retroactive prosecution. This clashes starkly with the EU's typically progressive stance on digital assets.

Russia sends mixed signals while China reevaluates its harsh crypto ban. Turkey escalates its crackdown, and Nepal enforces strict prohibitions. Afghanistan's new regime instituted a total prohibition, demonstrating the growing polarization in global crypto policy.

Major exchanges face operational shutdowns in restrictive jurisdictions, forcing users toward decentralized alternatives. The regulatory fragmentation underscores crypto's existential challenge: achieving mainstream adoption amid escalating geopolitical risks.