New Zealand Rejects Blanket Ban on Crypto ATMs

The New Zealand Government has decided against a blanket legislative ban on cryptocurrency ATMs, choosing instead a targeted regulatory approach to prevent criminal misuse of virtual assets. This decision reverses a preliminary Cabinet agreement from June 2025 that had initially supported a total ban.

Associate Justice Minister Nicole McKee announced that the government will instead establish specific regulation-making powers. These measures may include prohibitions on cash payments for high-risk assets or the implementation of maximum transaction thresholds to balance risk with legitimate user access. This strategy is part of a larger reform of the Anti-Money Laundering and Countering Financing of Terrorism system.

The government plans to incorporate these powers into the AML/CFT (Omnibus) Amendment Bill, which is scheduled for introduction later in July 2026.