ZA BankZA Bank Extends Services to Crypto Market
Hong Kong’s largest digital bank, ZA Bank, has recently announced that it will be extending its services to the crypto market, allowing traders and investors to withdraw fiat currencies from locally-licensed crypto exchanges. This move comes at a time when digital assets have been facing a great deal of scrutiny, with some suggesting that they may have contributed to financial woes at Silicon Valley Bank and Signature. Additionally, major crypto exchanges have struggled to find banking partners after these institutions failed.
Hong Kong regulators are set to hold a forum with domestic and international crypto firms later this month, in an attempt to re-cement the city’s identity as a crypto hub. This move is also part of Hong Kong’s efforts to regain its economic edge following the pandemic and tailwind effects that have affected its financial industries.
The CEO of ZA Bank, Ronald Iu, stated that companies focused on digital assets, large and small, were eager for a clear path to “make things work.” ZA Bank’s decision to service crypto investors and traders is a step in the right direction towards creating a more accessible and transparent crypto market in Hong Kong. This move will also help to create a more diverse range of banking partners for crypto exchanges, which will ultimately help to increase liquidity in the market.
Furthermore, ZA Bank’s decision to offer online accounts for domestic small-to-medium Web3 startups is another positive development. This follows a successful regulatory sandbox trial that onboarded 100 firms. Hong Kong’s financial sector has stated that despite the volatility and skepticism surrounding the digital asset market, the time is ripe for the economy to embrace Web3. Talks between the local crypto scene and the Hong Kong Monetary Authority, as well as the Securities and Futures Commission, will reportedly “facilitate direct dialog” and “share practical experiences and perspectives in opening and maintaining bank accounts” on April 26.
Overall, I believe that ZA Bank’s decision to extend its services to the crypto market is a positive development for Hong Kong’s financial industry. This move will help to create a more accessible and transparent crypto market, which will ultimately benefit both investors and traders. Additionally, the move towards offering online accounts for domestic small-to-medium Web3 startups is another positive step towards creating a more diverse and inclusive financial industry. I look forward to seeing how these developments will shape the future of the crypto market in Hong Kong.