ZA Bank in Hong Kong Adds Bitcoin and Ethereum Trading to Mobile App
Hong Kong’s ZhongAn (ZA) Bank is making waves by offering trading services for two popular cryptocurrencies, Bitcoin and Ethereum, on its banking app. According to a report from local media outlet Ming Pao, ZA is the first bank in Asia to provide cryptocurrency trading services to retail users. This move is seen as a way for the bank to level the playing field with traditional banks, offering a more competitive service and driving fee income growth.
To access ZA Bank’s Bitcoin and Ethereum trading services, individuals must first become a customer of the bank. After opening an investment account, Hong Kong residents are required to complete a risk assessment and other necessary processes before they can start buying and selling BTC and ETH. The entry fee is US$70 or HK$600, with a commission of US$1.99/HK$15 per transaction. Additionally, there is a platform fee of 1.5% of the transaction amount, with a minimum fee of US$1.99 or HK$15 per transaction. The bank has announced that it will waive the commission and reduce the platform fee by the end of June next year.
Calvin Ng, ZA Bank’s interim CEO, shared that Hong Kong only started providing virtual currency trading services to retail investors last year, and the bank has been preparing for this service for nearly a year. The trading will operate as a 24-hour service to ensure stability and guarantee for customers. Ng also emphasized the importance of compliance and customer education due to the high-risk nature of crypto assets.
ZA Bank has been actively developing technologies like blockchain to better serve the Web3 ecosystem. The bank has launched Bitcoin and Ethereum transactions first, with plans to gradually add more cryptocurrencies in the future. Ding Zhaofei, chief analyst of HashKey Group, a partner of ZA Bank, believes that the price of Bitcoin could surpass $100,000 in the short term. However, the future outlook may not be as positive if inflation issues persist in the United States.
The launch of cryptocurrency trading services is expected to increase fee income and attract new customers for ZA Bank, potentially helping the bank turn losses into profits. This move is seen as a positive step towards the future growth of the bank and its presence in the cryptocurrency market.
