Hong Kong crypto-friendly bank emerges! Zhongan Bank offers "cryptocurrency to fiat" services, three fiat currency withdrawals

With the Hong Kong government's friendly attitude towards the crypto industry, Hong Kong's largest virtual bank, "ZA Bank," will provide a fiat withdrawal channel to the Hong Kong Exchange, aiming to become a bridge between exchange users' crypto assets and fiat currencies.

Hong Kong's First Crypto-Friendly Bank, ZA Bank, to Provide Fiat Withdrawal Channels for Exchanges

According to a report by Bloomberg, ZA Bank CEO Rockson Yao announced in an interview that the bank will offer "crypto-to-fiat conversion" services to licensed exchanges in Hong Kong.

"ZA Bank will act as the settlement bank for users, allowing them to deposit cryptocurrencies on exchanges and withdraw in Hong Kong dollars, renminbi, and US dollars," said ZA Bank CEO Rockson Yao.

This business model is currently operational with two licensed cryptocurrency exchanges in Hong Kong, HashKey and OSL, whose main clients are professional investors. If other exchanges obtain licenses in the future, ZA Bank will also provide the same services.

However, due to restrictions from the Chinese government, ZA Bank will not offer services to customers from China.

Continued Crypto Industry-Friendly Attitude in Hong Kong

Since the Hong Kong government released a virtual asset policy statement in October last year, the local crypto industry has been rapidly developing. With the new licensing regime effective on 6/1, licensed Hong Kong exchanges are expected to start offering services to retail investors to tap into a larger market opportunity.

In addition to ZA Bank providing withdrawal services for exchange users, previous reports have also indicated that the Hong Kong branches of Bank of Communications, Bank of China, and Shanghai Pudong Development Bank are investigating crypto-related businesses and collaborating with crypto companies entering Hong Kong.