New Zealand financial regulators have ruled that the stablecoin NZDD is not a financial product

TechubNews · 2026-03-12T07:15:43+00:00

The New Zealand Financial Markets Authority has ruled that the NZDD stablecoin does not qualify as a financial product because its holders do not have earning or investment attributes. This ruling is related to the fintech sandbox pilot program. NZDD is backed by trust cash and is regulated.

TechubNews

2026-03-12 07:15:43

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Techub News reports that the New Zealand Financial Markets Authority (FMA) has officially ruled that the stablecoin NZDD, pegged to the New Zealand dollar, is not a financial product. The FMA stated that the NZDD stablecoin does not constitute a debt security in substance because its holders do not receive any income, interest, or other returns, nor does it have investment characteristics. This ruling is part of the FMA’s ongoing fintech sandbox pilot program. According to Foresight News, previously reported by Cointelegraph, New Zealand-based crypto exchange Easy Crypto and Australian blockchain development company Labrys announced that the NZDD stablecoin, pegged to the New Zealand dollar, is now live. The NZDD is backed 1:1 by trust cash and is regulated by the New Zealand Financial Markets Authority.

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