TechFlow News — New Zealand-based cryptocurrency exchange Easy Crypto has partnered with Australian blockchain firm Labrys to launch NZDD, a stablecoin pegged to the New Zealand dollar. NZDD will be backed 1:1 by cash held in trust and regulated by New Zealand’s Financial Markets Authority.
The stablecoin initially launched on Ethereum, with plans to expand to Polygon, BNB Smart Chain, Arbitrum, Optimism, and Coinbase’s Base.
Easy Crypto introduced NZDD to make it easier for New Zealanders to access yield opportunities, as they claim using USD-pegged tokens presents challenges.
In addition to the stablecoin, Easy Crypto has launched a multi-currency self-custody wallet secured by multi-party computation (MPC) cryptography, replacing traditional seed phrases with partial keys distributed among a user’s “circle of trust.”
A report commissioned by New Zealand’s Parliament in August noted the country has taken a “flexible” approach to crypto regulation, recommending issues be addressed “as they arise” and calling for consistent guidance on digital asset handling.
Previous attempts to launch New Zealand dollar-pegged stablecoins include $NZDs, introduced in 2021 by Australian financial services provider Techemyny. However, in 2022, the stablecoin's bridge was blacklisted following a hack on the DFX Finance protocol, leaving most funds stranded on the Polygon blockchain.
