Forex trading is legal in Hungary and operates under a comprehensive regulatory framework overseen by the Magyar Nemzeti Bank. The MNB is the central bank of Hungary responsible for authorization and supervision of entities, persons, and activities of the financial sector including the financial market, capital market, insurance market, and funds market (1). Through market supervision, the Magyar Nemzeti Bank ensures the legal compliance and integrity of the capital market while monitoring exchange transactions to control suspicious market manipulation or insider trading (2).
Hungary adheres to the Markets in Financial Instruments Directive framework, which sets uniform regulations for forex brokers operating within the European Union. Brokers must obtain authorization from the MNB, maintain minimum authorized capital of €125,000, ensure availability of qualified management personnel, develop comprehensive internal policies, implement effective risk management systems, and safeguard investors' rights (1). Hungary enforces strict leverage limits of 1:30 for major forex pairs, 1:20 for non-major pairs and gold, and 1:10 for commodities in line with ESMA product intervention measures (1).
"Through market supervision, the Magyar Nemzeti Bank ensures the legal compliance and integrity of the capital market, and the maintenance of the trust in the capital market."
The MNB conducts continuous supervision over financial institutions both on-site and off-site using prudential supervision tools, market surveillance, and consumer protection mechanisms. The central bank publishes warnings on its website about local and foreign operators that pursue unlicensed activities in misleading and unlawful manners, taking action against entities conducting unregistered activities (2). Traders using licensed brokers are protected by the Hungarian Investor Protection Fund which covers up to €100,000 if a broker becomes insolvent (1).
Source:
https://www.state.gov/reports/2025-investment-climate-statements/hungary
https://www.mnb.hu/en/supervision/market-supervision
Last updated: 15-10-2025 Disclaimer: This article does not provide legal advice. If you need legal advice, please contact an attorney directly.
