New Zealand Government Decides to Ban Crypto ATMs! Here’s Why

The New Zealand government has decided to ban crypto ATMs in the country and impose a NZD 5,000 limit on international cash transfers. New Zealand Bans Crypto ATMs and Limits Cash Transfers This comprehensive regulation aims to reshape the AML/CFT regime (Anti-Money Laundering/Counter Financing of Terrorism) within the framework of the fight against money laundering and organized crime. The 221 crypto ATMs operating in the country have been scrutinized for allegedly being used in illegal transactions such as transferring criminal proceeds abroad and drug trafficking. New Zealand Deputy Justice Minister Nicole McKee announced the new bill today, stating that the reform would expand the powers of both police and financial regulators, allow intelligence agencies to collect financial data more comprehensively, and that a new funding cut to finance the system would be discussed. “This government wants to go after criminals with determination. Our aim is to make New Zealand the easiest place in the world to do legitimate business and the hardest place in the world for criminals,” McKee said. The new regulation has been welcomed by some in the industry as a positive step. Janine Grainger, co-founder of crypto trading platform Easy Crypto, said the ban is a sign of maturation in the industry, adding: “We’ve been watching the rapid proliferation of crypto ATMs, but we want this growth to proceed safely and compliantly. That’s why we support the ban.” Grainger emphasized that crypto ATMs often operate with high transaction fees of up to 20%, which has now lost its appeal for many users. Arjun Vijay, founder of Giottus crypto exchange, stated that without security measures such as identity verification (KYC), misuse of these devices is inevitable: Bitcoin ATMs, with their high fees and anonymous transaction features, are often used for illicit fund movements. This ban is not surprising. New Zealand’s decision comes amid growing global concerns about crypto ATMs being used for criminal activities. In Australia, AUSTRAC has placed the industry under surveillance, citing a rise in crypto scams targeting the elderly. The US city of Spokane has completely banned crypto kiosks after FBI data linked the devices to $5.6 billion in fraud in 2024. It is stated that the ban in New Zealand is not a “setback” in the crypto sector, but rather a sign of a transition to a more robust and secure structure. *This is not investment advice. Continue Reading: New Zealand Government Decides to Ban Crypto ATMs! Here’s Why

Source: BitcoinSistemi