The article is devoted to the study of the regulation of the cryptocurrency market in Hungary, the regulatory consolidation of property rights to cryptocurrency values. A comparative analysis of the regulation of this issue under the legislation of the EU and directly of Hungary was also carried out. Because it is the regulatory framework and court precedents on the territory of the EU that form the basis for the formation of the domestic framework for the regulation of Hungary’s crypto market. It is also important to clearly define Bitcoin and Blockchain as a special kind of thing in Hungarian civil law. The authors paid special attention to the innovation in the tax sphere of Hungary. Virtual currencies, especially cryptocurrencies, and the technology behind them and their constant development pose a serious challenge to the legislator. The task is further complicated by the fact that cryptocurrencies have a number of unique characteristics that distinguish them from one another. The study focuses on issues related to taxation, mainly based on the norms of the current legislation of Hungary. A study of the appearance, concept and social acceptance of money, a presentation and a detailed analysis of each financial function lead to an analysis into the world of cryptocurrencies. The article also argues that each of the payment documents in the form of cryptocurrency can act as digital currencies or cannot perform monetary functions. When writing the article, special attention was paid to digital money of the central bank, which can revolutionize it, as a digital form of legal tender. Nowadays, most countries (for example, England) are experimenting with central bank digital money for its implementation. In theory, central bank digital money can replace traditional money and payment services (eg bank accounts, bank deposits). The advantage of the system is that it would reduce the cost of bank funding and it is also new for monetary policy. Central bank regulation of digital money will be one of the most important issues in the coming years. Due to the extreme volatility of the field under consideration, the authors consider it important to note that this article can only provide a brief and concise overview of the regulatory and tax regulation of the cryptocurrency market under Hungarian law. And this analysis has a positive foundation for further research and comparison with the domestic legal base of cryptocurrency market regulation under the legislation of Ukraine.
Read full abstract