Hong Kong’s Virtual Bank ZA Bank to Offer Token-to-Fiat Conversions
The largest online bank in Hong Kong has announced plans to enter the crypto sector as a bridge between digital assets and fiat currencies.
ZA Bank will offer transfers and conversions between the two and account services for Hong Kong’s crypto sector.
The bank will cooperate with licensed exchanges, including HashKey and OSL, to offer token-to-fiat currency conversions and act as a settlement bank for withdrawals in Hong Kong, China, and US currencies.
ZA Bank will provide online accounts for local crypto and Web3 startups and work only with licensed exchanges.
While the bank will conduct anti-money laundering procedures, it will not offer crypto services to mainland Chinese retail customers due to regulatory restrictions.
While Hong Kong plans to establish itself as a crypto hub with a regulatory framework in June, the proposed regulations will come with limitations and insurance coverage requirements.
Meanwhile, in the US, there are still no official crypto regulations in place.