{"id":413677,"date":"2023-06-30T12:34:58","date_gmt":"2023-06-30T12:34:58","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=413677"},"modified":"2023-06-30T12:34:58","modified_gmt":"2023-06-30T12:34:58","slug":"reserve-bank-of-new-zealand-boosts-monitoring-of-cryptocurrencies-and-stablecoins-delays-regulatory-action","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/reserve-bank-of-new-zealand-boosts-monitoring-of-cryptocurrencies-and-stablecoins-delays-regulatory-action","title":{"rendered":"Reserve Bank of New Zealand Boosts Monitoring of Cryptocurrencies and Stablecoins, Delays Regulatory Action"},"content":{"rendered":"

The Reserve Bank of New Zealand (RBNZ) has announced its decision to enhance monitoring of cryptocurrencies and stablecoins, according to a statement released by the central bank<\/span><\/a> on June 30.<\/p>\n

Ian Woolford, the Director of Money and Cash at RBNZ, stated that while the current situation does not necessitate immediate regulatory measures, increased vigilance is required.<\/p>\n

Reserve Bank of New Zealand Increases Monitoring of Cryptocurrencies and Stablecoins<\/b><\/h2>\n

The move by RBNZ is in line with the feedback received from industry stakeholders, as highlighted in the consultation paper published by the central bank last year. twRipple, a blockchain-based payment protocol, and Westpac, one of Australia’s prominent banks, were among the respondents to the RBNZ’s consultation paper.<\/p>\n

\"Reserve<\/p>\n

Woolford acknowledged the significant risks and opportunities associated with cryptocurrencies and stablecoins, as emphasized by the stakeholders’ responses.<\/p>\n

He emphasized the importance of caution in dealing with these emerging assets, which further emphasizes the need for comprehensive data collection and monitoring to develop a deeper understanding.<\/p>\n

Nevertheless, RBNZ has chosen a wait-and-watch approach regarding the regulation of cryptocurrencies. Woolford believes that effective regulation requires global harmonization, and as other countries implement their own regulatory frameworks, best practices may become clearer.<\/p>\n

During this interim period, RBNZ intends to collaborate with regulatory agencies through the Council of Financial Regulators to foster healthy growth in the market. Woolford also expressed the central bank’s commitment to engaging with industry stakeholders to address emerging issues related to cryptocurrencies.<\/p>\n

In New Zealand, cryptocurrencies are treated as personal property under existing legislation, subjecting them to income tax.<\/p>\n

Woolford highlighted that the challenges posed by cryptocurrencies transcend the boundaries of individual agencies. However, he emphasized that ensuring investor protection and addressing regulatory barriers to entry are crucial for establishing a reliable and efficient money and payment system.<\/p>\n

While regulators worldwide are actively seeking to regulate the crypto industry, the Reserve Bank of New Zealand has opted against implementing immediate regulations. The European Union has already enacted the Markets in Crypto Assets (MiCA) law, and jurisdictions such as Hong Kong have introduced progressive crypto regulations.<\/p>\n

By intensifying its monitoring efforts for stablecoins and crypto-assets, the Reserve Bank of New Zealand aims to strike a balance between risk mitigation and facilitating the growth of this evolving industry.<\/p>\n

Crypto influencer Keyur Rohit came out with a tweet stating other reasons behind the Reserve Bank saying no to regulations right now.<\/p>\n

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🚨 BREAKING: 🇳🇿 New Zealand's Central Bank REVEALS SHOCKING DECISION on #Crypto<\/a> Regulation 😱<\/p>\n

Read this to find out why they say \"NO\" to regulations RIGHT NOW 😳<\/p>\n

A thread 🧵 pic.twitter.com\/doSjHxZnCz<\/a><\/p>\n

— Keyur Rohit (@CryptoKingKeyur) June 30, 2023<\/a><\/p><\/blockquote>\n