New Zealand Cracks Down on Crypto ATMs to Fight Money Laundering
New Zealand bans cryptocurrency ATMs and limits international cash transfers to combat money laundering and financial crime. Associate Justice Minister Nicole McKee announced the measures as part of an overhaul of the AML/CFT regime, aiming to block avenues used by criminals to move illicit funds. The Financial Intelligence Unit will have new powers to demand ongoing information from banks regarding suspicious individuals.
New Zealand is set to pass AML reform bills to ease compliance for businesses without lowering standards. McKee emphasized that targeting criminals does not mean burdening legitimate businesses. Criminals have increasingly used crypto ATMs to convert cash into crypto for drug payments or fraud-related transactions. There are over 220 crypto kiosks operating in New Zealand according to Coin ATM Radar data.
Global crackdown on crypto ATMs continues, following Australia’s introduction of new rules for operators, including a $3,250 cap on cash deposits and withdrawals. Spokane, Washington, has banned crypto ATMs due to fraudsters targeting vulnerable residents, especially in low-income neighborhoods. The move aligns with a global trend of heightened scrutiny and regulation around these machines.
Read more at Cointelegraph: New Zealand Bans Crypto ATMs to Curb Money Laundering