CoinWorld.net March 12 News, the New Zealand Financial Markets Authority (FMA) has ruled that the stablecoin NZDD, which is pegged to the New Zealand dollar, does not qualify as a financial product. The FMA stated that this determination is directly based on its ongoing fintech sandbox pilot, as NZDD's economic substance is not debt securities, and it does not constitute an investment, with holders not receiving any income, interest, or other benefits. A law firm representing the issuer of NZDD, ECDD Holdings, which participated in the FMA sandbox, said that this ruling is an important step toward clarity in New Zealand's stablecoin regulation, but it should be noted that this determination applies only to specific products and versions of NZDD and does not constitute a general ruling on the regulatory treatment of all stablecoins.

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