ACT Unveils Plan to Boost NZ's Digital Economy

Acting to modernize New Zealand's digital finance rules is a key part of the ACT party's plan for economic growth, according to Deputy Leader Nicole McKee and MP Cameron Luxton. They believe that making it easier for businesses to raise capital, invest, and build new financial technology will unlock the country's potential.

The pair outlined six reforms aimed at achieving this goal: establishing a clear legal framework for tokenized securities, creating rules for qualifying payment stablecoins, setting up a supervised innovation sandbox, introducing a bright line tax exemption for personal investment in digital assets, exempting low-value purchases made using digital assets from taxation, and reviewing current rules that may be hindering fintech businesses.

The reforms are designed to make it easier for Kiwis to raise capital, pay and get paid more easily, and participate in the technologies shaping the future. However, they also emphasize the need for strong consumer and financial safeguards.