Update
New Zealand Stablecoins to Face New Reserve and Redemption Rules
New Zealand’s Financial Markets Authority is seeking feedback on a proposal to exempt some New Zealand dollar-backed stablecoins from the country’s financial-product rules. Issuers would need to hold reserves equal to the face value of tokens in circulation and be able to return tokens to the issuer for face value, subject to commercially reasonable conditions. The designation would cover tokens backed one-for-one by New Zealand dollars held on bare trust at a locally registered bank, redeemable at face value and paying holders no return. The proposals are due to close at 5 p.m. on December 18, 2026.