Compliant Stablecoin Launches in New Zealand

Compliant Stablecoin Launches in New Zealand

A New Zealand-based firm says it has created the country’s first compliant stablecoin, one backed by the country’s dollar.

According to a press release shared with CoinDesk on Wednesday, the New Zealand dollar stablecoin ($NZDs) is issued by Techemynt, a regulated company with ties to crypto hedge fund Techemy Capital.

Launching today, the cryptocurrency is backed one-to-one by the New Zealand dollar and deployed on the Ethereum blockchain by Blockchain Labs. $NZDs’ code utilizes a framework developed by Coinbase and Circle-founded Centre group.

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“$NZDs combines the stability and value of the New Zealand Dollar with the intrinsic utility of cryptocurrency to allow arbitrage, remittance, and digital payments, while positioning the New Zealand Dollar as a prominent participant in the global digital asset economy,” the company said.

To ensure transparency, reserves of the New Zealand dollar backing the stablecoin are to be confirmed by a “leading accounting firm” with reports delivered on a quarterly basis, according to the firm’s website.

Techemynt is registered as a Financial Service Provider in New Zealand, according to a listing by Companies Office, a governmental department within the Ministry of Business, Innovation and Employment.

The company shares ties with asset investment firm Techemy Capital via its co-founder Fran Strajnar, who told CoinDesk via email that Techemynt had spent nine months with law firm MinterEllisonRuddWatts to “ensure” NZDs was up to regulatory standard.

“I would think that any observer would see [a] material difference in the quality and approach of NZDs compared to other efforts which never took off,” said Strajnar.

New Zealand has seen several attempts at the creation of a stablecoin backed by the dollar. In May 2017, the now-defunct cryptocurrency exchange Cryptopia issued the first unregulated stablecoin, NZDT.

After the exchange’s bank got cold feet citing regulatory concerns, Cryptopia was forced to delist the token. Another attempt at creating the stablecoin was slated for the first quarter of 2019, but not before the exchange suffered a hack that ultimately ended in its liquidation.

Techemynt Launches First New Zealand Dollar Stablecoin, $NZDs

AUCKLAND, March 10, 2021 (GLOBE NEWSWIRE) – (via Blockchain Wire) - New Zealand Registered Financial Service Provider Techemynt (https://www.techemynt.com/) today announced the launch of the first New Zealand dollar stablecoin, $NZDs. $NZDs is backed 1:1 by the New Zealand Dollar, merging the flexibility of cryptocurrency with the stability of fiat. $NZDs was deployed on the Ethereum blockchain by Blockchain Labs, using the robust FiatToken framework developed by Centre.

Stablecoins are a type of cryptocurrency backed by a reserve asset, such as fiat currency or gold. They’ve gained traction as a way to pair the instant processing, security, and privacy of cryptocurrency payments with the stability of the underlying asset. The New Zealand Dollar is currently the tenth most-traded currency in the world and commands immense trust globally. As a blockchain-based stablecoin, $NZDs combines the stability and value of the New Zealand Dollar with the intrinsic utility of cryptocurrency to allow arbitrage, remittance, and digital payments, while positioning the New Zealand Dollar as a prominent participant in the global digital asset economy.

“Between the popularity of the New Zealand Dollar and the proliferation of cryptocurrency, Techemynt felt it was an ideal time to fill the gap in the market and lead the creation of a NZD-based stablecoin,” said Fran Strajnar, Executive Director of Techemynt. “After nearly a year of development, $NZDs is now first to fully execute and deliver on the promise of bringing a New Zealand Dollar stablecoin to the world. We’ve worked extensively with our top-tier partners to ensure $NZDs builds upon the best aspects of existing stablecoins while adhering to New Zealand’s legal requirements.”

$NZDs is backed 1:1 with physical New Zealand Dollars in a cash and cash-equivalent treasury. $NZDs will have rigorous governance, management and transparency policies focusing on operations and compliance day-to-day.

Issued by Techemynt, $NZDs will be made directly available to customers who wish to acquire NZ $100,000 (or more) of $NZDs tokens. $NZDs will also be made available on secondary markets including the cryptocurrency exchange Dassetx.com (powered by Bittrex). Techemy intends to integrate $NZDs with other exchanges and on/off ramps in the future. Anyone purchasing $NZDs directly from Techemynt will be required to complete Customer Due Diligence checks in line with Techemynt’s FSP obligations under the Anti-Money Laundering and Countering Financing of Terroism Act 2009 (AML/CFT) of New Zealand.

Users of $NZDs are likely to include forex and crypto traders, crypto funds, investors, and eventually merchants and everyday consumers. Techemy also envisages that $NZDs will be able to be transferred to DeFi platforms to earn yield. Currently DeFi platforms have the potential to provide participants with much higher yields compared to traditional bank accounts.

To learn more, please download the $NZDs White Paper.

ABOUT TECHEMYNT

Techemynt (https://www.techemynt.com/) is a New Zealand Registered Financial Service Provider and the issuer of $NZDs, a stablecoin backed 1:1 by the New Zealand Dollar. $NZDs provides a blockchain-based analogue of the New Zealand Dollar that allows arbitrage, remittance, and digital payments, while positioning the New Zealand Dollar as a prominent participant in the global digital asset economy. Techemynt is led by Fran Strajnar, founder of the digital asset investment firm Techemy Capital and digital asset data infrastructure company Brave New Coin.

ABOUT $NZDs

$NZDs is a stablecoin backed 1:1 by the New Zealand Dollar, merging the flexibility of cryptocurrency with the stability of fiat. $NZDs was deployed on the Ethereum blockchain by Blockchain Labs, using the robust FiatToken framework developed by Centre and issuance by Techemynt. To learn more, please download the $NZDs White Paper.

Company Contact: Media Contact: Transform Group,

New Zealand Fintech Company Set To Launch StableCoin

New Zealand Fintech company Techemynt is now offering a New Zealand Dollar stable coin called NZDs, backed 1:1 by the New Zealand Dollar.

Stable coins have become the quintessential currency for trading cryptocurrencies. They offer plenty of benefits, such as allowing traders to hold value during market volatility. The importance of stable coins has seen a dramatic increase in recent months.

Tether (USDT) remains the largest stable coin in the market. Backed 1:1 by US Dollar, the project ranks in the top 10 cryptocurrencies.

Now it appears that there will finally be a lucrative New Zealand stable coin. Techemynt has launched its own stable coin backed 1:1 by the New Zealand Dollar. The stable coin will operate under the ticker $NZDs.

Crypto Growth in New Zealand

The growth of cryptocurrencies across the world has seen stable coins play a vital role. By offering instant processing, transferability, and a store of value, stable coins have become integral to the volatile markets. The launch of $NZDs will now mean New Zealanders can trade cryptocurrencies in their own currency.

Techemynt Executive Director Fran Strajnar commented on the launch of the stable coin, saying, “Between the popularity of the New Zealand Dollar and the proliferation of cryptocurrency, Techemynt felt it was an ideal time to fill the gap in the market and lead the creation of an NZD-based stable coin.”

Strajnar also stated that the project had taken over a year to develop. The project also adheres to New Zealand’s legal requirements, he confirmed.

NZDs Ready for Purchase

Currently, investors can purchase the stablecoin directly from Techemynt’s website. However, the minimum amount to purchase is NZ $100,000. Users can also purchase stablecoins on secondary exchanges in New Zealand, such as cryptocurrency exchange Dassetx.com.

While the launch of a New Zealand stable coin will offer more on-ramps for traders in the country looking to trade and move funds, The stable coin will have a lot to prove. New Zealand is well known for having operated the once-popular cryptocurrency exchange Cryptopia.

The exchange was hacked in early 2019 and is still in liquidation, with users yet to receive a single dime from the company.