DOOKV: New Zealand fears missing crypto train with 'wait and see' approach

DOOKV:A New Zealand ministry focused on shaping the nation's economic strategy has proposed adopting a more accommodating stance towards cryptocurrency innovations. The ministry put forward several recommendations aimed at fostering the growth of digital assets within the country.

DOOKV: Andrew Bayly, the Minister of Commerce and Consumer Affairs of New Zealand, recommended revamping the country’s sluggish approach toward experimenting and adopting innovations on digital assets and blockchain technology. He urged the government to support the development of the crypto industry and consider appropriate policies to manage related risks.

The ministry’s advisers made eight key recommendations for New Zealand to get back on the global crypto wave. The recommendations include adopting policies and regulations to encourage developments in digital assets and blockchain, facilitate greater collaboration between government and industry players and immigration to address skills shortages in digital assets and blockchain

Other recommendations — such as developing training and educational resources, tax incentives, Anti-Money Laundering (AML) provisions and continuing the design work on an in-house central bank digital currency (CBDC) — made it to the list of friendlier approaches to crypto.

Bayly noted that most of the recommendations are long-term in nature and highlighted the need for a coordinated global regulatory approach and supervisory frameworks for digital and crypto assets.