New Zealand and Cryptocurrency
New Zealand has rapidly become one of the most progressive countries in terms of cryptocurrency regulation. The country is actively looking to create a supportive ecosystem for digital currencies, with the goal of promoting innovation within this space.
In April 2019, New Zealand’s Financial Markets Authority (FMA) released proposed regulations for Initial Coin Offerings (ICOs). These regulations have been designed to provide clarity and certainty about how ICOs are regulated in New Zealand. The FMA also requires companies involved in trading cryptocurrencies to register as a financial service provider if they wish to offer services related to crypto assets or tokens.
The Reserve Bank of New Zealand (RBNZ) has yet to issue any specific guidance on cryptocurrencies; however, it does require all companies dealing with virtual currencies and transactions involving them must comply with anti-money laundering laws applicable to traditional financial institutions. Additionally, those who want their activities related to cryptocurrency exchange or money transmission services licensed by the RBNZ will need permission from the government before continuing operations.
In addition, several banks in New Zealand do accept deposits denominated in bitcoin and other cryptocurrencies through third-party payment providers such as BitPay or Coinbase Commerce. This helps promote further adoption of these digital assets among individuals living inside the country’s borders.
Overall, New Zealand has taken steps towards creating an environment that allows new participants into its crypto markets while providing appropriate protection for customers engaging with these projects at the same time – making it an attractive place for investors interested in either investing directly into blockchain projects or indirectly via tokenized securities offered through compliant exchanges operating within its jurisdiction .
