Crypto firms that set up shop in Hong Kong ahead of a new licensing regime for cryptocurrency exchanges in June have reportedly found some unexpected allies in the region: Chinese state-owned banks.
According to a March 27 report According to Bloomberg, Chinese banks, including Shanghai Pudong Development Bank, Bank of Communications Co. and Bank of China Ltd., have started offering banking services to cryptocurrency companies in Hong Kong or have consulted with cryptocurrency companies, according to " people with knowledge of the matter.
One source claims that a sales representative from a Chinese bank even visited the main office of a cryptocurrency company to offer banking services. All this despite a Cryptocurrency Ban Underway in China.
Cointelegraph reached out to Shanghai Pudong Development Bank, Bank of Communications Co., and Bank of China Ltd for further comment, but did not receive a response prior to publication.
Asked for comment, Julia Pang, head of banking relations at Hong Kong-based cryptocurrency trading platform OSL, told Cointelegraph that her firm welcomed the "growing interest of Chinese banks in engaging with the regulated crypto industry." .
โThis development is encouraging for both the industry and the broader ecosystem, as it demonstrates a mature understanding of the crypto sector by traditional financial institutions,โ he said.
A spokesman for the firm said it could not currently provide comment on whether the firm had been approached by any state-owned Chinese banks.
Related: Hong Kong Wants To Become Crypto Hub Despite Industry Crisis
In October last year, the Hong Kong government floated the idea of presents its own bill to regulate cryptocurrenciesand the Hong Kong Securities and Futures Commission (SFC) published a proposal for a Regime for cryptocurrency exchanges on February 20, which will take effect in June.
Christopher Hui, Secretary for Financial Services and Treasury Office, delivers the keynote address and reinforces the Hong Kong government's vision to develop the virtual asset sector in Hong Kong.
He mentions that Web 3 presents a paradigm shift in the Internet age. pic.twitter.com/9MGkWOCj0Oโ Everest Ventures Group (EVG) (@EVG_Ventures) March 20, 2023
According to a report on February 20, it is also understood that representatives of the China Liaison Office have been Haunting Hong Kong Crypto meetings
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