The crypto community in New Zealand is in shock. The local government has announced an immediate ban on all cryptocurrency ATMs in the country and is introducing a NZD 5,000 cap on international cash transfers. This is one of the strictest measures to date in the fight against money laundering and terrorism financing and is set to significantly reshape the current AML/CFT framework.

🚨 221 Crypto ATMs Taken Down

Until now, New Zealand had 221 crypto ATMs in operation, which, according to authorities, were frequently used to transfer proceeds of crime, drugs, and for other illicit activities.

Deputy Minister of Justice Nicole McKee introduced the new legislation today. It grants broader powers to police and financial regulators, allows intelligence agencies to collect financial data more extensively, and also opens discussions on new funding to support the system.

🗣️ “This government is determined to go after criminals. We want New Zealand to be the easiest place in the world to do honest business – and the hardest for those who want to cheat,” McKee stated.

📉 End of Anonymous Transactions and High Fees

The banned ATMs have long faced criticism – not just for allowing anonymity but also for charging excessive fees.

Janine Grainger, co-founder of Easy Crypto exchange, called the ban a step forward:

🗣️ “We’ve seen the rapid rise of crypto ATMs, but also growing safety concerns. We support regulation that ensures safe and responsible growth.”

Criticism also came from Arjun Vijay, founder of crypto exchange Giottus:

🗣️ “Without identity verification (KYC), misuse of crypto ATMs is nearly guaranteed. They’re often used for anonymous fund transfers in fraudulent activities. This ban doesn’t surprise us.”

The ban comes amid a global push for tighter crypto oversight:

🔹 In Australia, AUSTRAC has increased surveillance of the crypto sector due to a rise in scams targeting the elderly.

🔹 In the U.S., the city of Spokane banned all crypto kiosks after FBI data linked them to more than $5.6 billion in fraud in 2024.

⚠️ A Transition, Not a Setback

Despite the dramatic headlines, this is not the end of crypto in New Zealand – rather, it's a shift toward a more stable, transparent, and secure ecosystem.

For serious market players, this move may signal maturity. For speculators and anonymous traders, however, tough times lie ahead.



#crypto , #Regulation , #ATM , #BAN , #CryptoCommunity

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!

Notice:

,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“