- New Zealand prohibits crypto-atms and limits international transfers to $ 5,000 to combat money laundering and financial crime.
- The reforms improve financial surveillance and strengthen the powers of regulatory authorities and police.
New Zealand has A number of strict reforms to combat financial crime announcedincluding a ban on crypto-atms and an upper limit for international cash transfers. The measures are part of a comprehensive revision of New Zealand regulations to combat money laundering and terrorist financing.
These new regulations aim to contain illegal activities, in particular the use of digital currencies for money laundering. The country’s Ministry of Justice announced that the government has undertaken to strengthen financial surveillance and at the same time reduce the stress for legitimate companies.
Prohibition of crypto monetary machines away from increasing crime
The government’s decision to ban crypto-atms was after reports indicated that criminals exploit these machines to convert illegal cash into digital assets. Deputy Minister of Justice Nicole McKee said that this ban was aiming to have an important possibility of Money laundering close .
New Zealand is currently With 221 Krypto-atms In eighth place in the world . The authorities believe that these machines are used to transfer illegal funds abroad, which to an increase in organized crime contributing.
McKee pointed out that criminals often Krypto-atms to useto avoid traditional banking systems, which makes it difficult to pursue illegal transactions. By breaking this network, the New Zealand authorities hope to prevent an important instrument of money laundering.
This step is in accordance with international trends, since several countries, including Germany, Australia and the United States, who have tightened regulations for crypto cash machines to prevent fraud and abuse.
New borders for international cash transfers
In addition to the ban on crypto cash machines, New Zealand will also introduce a limitation for international cash transfers. The government plans to limit such transfers to $ 5,000. This new restriction is intended to prevent criminal organizations from bringing large sums of money out of the country unnoticed.
The upper limit is aimed at illegal money movements, but has no effect on legitimate transactions such as transfers or personal transfers that can continue to be handled via electronic bank channels.
The threshold of $ 5,000 corresponds to the global standards for cross -border financial transactions. The New Zealand authorities believe that it makes it more difficult for criminals to move large sums of money quickly and uncontrollably.
The general strategy of the government is to combat financial crime and at the same time ensure that companies and private individuals can continue to act effectively in the financial system.
Reinforcement of surveillance and law enforcement powers
Another part of New Zealand AML/CFT reforms is the expansion of the surveillance and enforcement powers of the supervisory authorities. McKee said the government would give the Financial Intelligence Unit (FIU) more instruments to pursue suspicious financial activities.
The FIU will be able to request more information about people who are classified as potentially illegally so that it can better monitor and analyze financial transactions.
In addition, the proposed reforms introduce a new law to strengthen police and official powers in combating money laundering. McKee said this would simplify the compliance requirements for companies with low risk, so that the authorities can concentrate on companies with high risk that in severe financial crimes involved are.
In this way, the government hopes to reduce the bureaucratic effort for serious companies and at the same time focus on preventing criminal use of the financial system.
The financial and regulatory landscape has changed significantly since 2019, and New Zealand wants to remain at the top of the development in combating financial crime.
McKee said that these reforms will not only combat illegal financial activities, but will also support legal companies.
The government’s new law will be discussed in the course of the year and is intended to strengthen the country’s financial instruction service. An exact date has not yet been determined, but the new regulations should come into force by the end of 2025.
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