/
/
New Zealand FMA Rules On NZDD Stablecoin
New Zealand's national financial governing body has provided its official designation on the NZDD stablecoin backed by the New Zealand Dollar.
New Zealand is progressing its domestic stablecoin regulatory landscape as NZDD is declared not a financial product and removing further regulatory burdens from issuers (Long Ling / Unsplash)
New Zealand's FMA has given its ruling on NZDD stablecoin.
The Financial Markets Authority has released an updated FMC (Financial Markets Conduct) notice on the state of the NZDD stablecoin, declaring it not a financial product. The regulator has labelled the New Zealand dollar-backed stablecoin as a payment instrument.
NZDD is issued by ECDD Holdings Limited and has been declared as a non-yield permitted stablecoin, meaning that no direct interest shall be paid out to holders by the issuer. It currently runs on Base, Polygon and Ethereum networks with a supply of 775K NZD.
Additionally, the regulator has announced a continuation of its ongoing sandbox intended to encourage the adoption of newer technology innovation for fintechs. This includes helping companies with more flexible licenses, as well as reviews of tokenisation related services.
READ THIS FROM WHEREVER YOU ARE.
By signing up, you agree to our Privacy Policy
Note: This is intended for informational purposes only and does not in any way constitute or solicit financial, professional, or legal advice. Readers should conduct their own due diligence at all times.
Certain pages may have disclaimers above to distinguish between submitted press releases, AI-assisted and sponsored content, as well as Stablecoin News exclusives. Sources used are shown below.
