Hungarian regulator will block accounts linked to unlicensed gambling
The SZTFH will limit deposits and withdrawals from accounts that engage in illegal gambling.
Hungary.- The government of Hungary has announced dramatic measures to tackle illegal gambling. As of this month, the national regulator, the Hungarian Supervisory Authority for Regulatory Affairs (SZTFH), will be able to limit deposits and withdrawals to and from bank accounts that are identified as engaging in gambling via unlicensed sites.
Meanwhile, banks in Hungary will be ordered to reject card payments to unlicensed gambling sites. The SZTFH says that the move means that any players that choose to gamble on unlicensed sites may not be abe to receive any winnings.
In March, SZTFH implemented technical measures in response to amendments in its Gambling Act. Under the amendments, customers can now have balances with multiple operators, and players can now cash out early if the game they are participating in allows it.
The new Hungarian gambling market
In April, the SZTFH issued a decree to implement technical requirements for Hungary’s newly liberalised gambling market. The decree brings in new legislation at the agency level and sets out requirements for operators that want to enter the market.
Operators seeking to gain authorisation from the SZTFH to run online gambling in Hungary must be able to demonstrate at least five years of experience in licensed online gaming in a European Economic Area state. The decree forbids the licensing of any operator that has offered unlicensed gaming in the five years prior to application.
Hungarian gambling licence fees and taxes
The licence fee for Hungarian online gambling licences has been set at HUF600m (€1.57m). All applicants will have to pay an application fee of HUF10m. Operators will also need to pay a supervision fee amounting to 2.5 per cent of gross gambling revenue up to a maximum of HUF10m. Gaming tax has been set at 15 per cent of gross gambling revenue. Operators will also need to have share capital of at least HUF1bn.
Hungary’s state monopoly on gambling came to an end on January 1 under an amendment to the country’s Gambling Act passed in February 2022. The amendment introduces a competitive licence process, with the European Union Court of Justice having ruled that the monopoly system was incompatible with EU law back in 2017. Players are now permitted to have balances with multiple operators.
