Key takeaways:
- HSBC is said to have launched its first regional cryptocurrency services.
- It is anticipated that this development will increase Hong Kong residents’ access to cryptocurrencies.
The largest bank in Hong Kong, Hong Kong, and Shanghai Banking Corporation (HSBC), is said to have launched its first regional cryptocurrency services.
Local journalist Colin Wu tweeted on June 26 that HSBC had made it possible for its customers to buy and sell exchange-traded funds (ETFs) based on Bitcoin and Ether.
The report states that HSBC would sell bitcoin ETFs that are listed on the Hong Kong Stock Exchange. CSOP Bitcoin Futures ETF, CSOP Ethereum Futures ETF, and Samsung Bitcoin Futures Active ETF are the three crypto ETFs that are currently available on the exchange’s list.
The recent announcement by HSBC is a significant step. This is due to the fact that it is the first bank in Hong Kong to make ETF trading possible. It is anticipated that this development will increase Hong Kong residents’ access to cryptocurrencies. Online reports state that, as of March 2022, HSBC Hong Kong had 1.7 million active mobile users. According to reports, internet processing accounts for almost 95% of all HSBC retail transactions in Hong Kong.
The brand-new offerings coincide with the purported debut of the Virtual Asset Investor Education Center by HSBC. The program requires investors to read and double-check educational materials and risk disclosures before investing in order to safeguard them against cryptocurrency-related hazards.
According to reports, HSBC’s virtual asset-related products, including the HSBC HK Easy Invest app, the HSB CHK Mobile Banking app, and online banking, all offer access to the instructional center.
The revelation was released shortly after several media reports in mid-June claimed that the Hong Kong Monetary Authority had pushed significant banks to accept cryptocurrency exchanges as clients. The central bank and regulator for the area explicitly inquired as to why firms like HSBC and Standard Chartered were not accepting any cryptocurrency exchanges as clients. It appears that the regulators have now been successful in persuading large banks to cater to their cryptocurrency clientele.
The action taken by HSBC is a massive step in the right direction for Hong Kong’s financial sector. It will inspire other banks to imitate it and seize the chances that cryptocurrencies present. Digital is the way of the future of finance, and HSBC is paving the way.
