Hong Kong Zhongan Bank launches Cryptocurrency trading! Will CEX be fully attacked by banks?

ZA Bank in Hong Kong became the first virtual bank in Asia to offer cryptocurrency trading services, launched the ability to buy and sell BTC and Ethereum, and attracted young investors with low barriers to entry and preferential fees. (Synopsis: Hong Kong cryptocurrency "OTC coin dealers" will welcome the licensing system: the Securities Regulatory Commission may cooperate with the customs to supervise) (Background supplement: Hong Kong encryption/Virtual Money regulatory full analysis: VASP license, stablecoin, digital Hong Kong dollar, tokenization.. One look) Hong Kong digital bank ZA Bank announced that from today (25), it will officially launch a cryptocurrency trading service in its app. This makes it the first bank in Asia to allow retail users to trade directly with BTC (Bitcoin) and Ethereum (Ethereum), and injects new vitality into Hong Kong's virtual banking market. Drop fee ZA has a transaction threshold of $70 or HK$600, and users only need to open an investment account and complete a risk assessment to start trading. Competitive fee design: Commission: $1.99 or HK$15 per transaction. Platform fee: 1.5% of the transaction amount, the minimum fee is the same as the commission. To attract more investors, the bank announced a commission waiver from now until the end of June 2025 and reduced the platform fee to 0.8% of the transaction amount. Young people are the core customer group According to ZhongAn Bank's acting chief executive, Wu Zhonghao, the number of users in the bank has now exceeded 800,000, accounting for 13% of Hong Kong's population that can use banks. Among them, 18- to 30-year-olds contribute to a fairly high penetration rate, with one in four young people using ZA services. Wu Zhonghao believes that cryptocurrency trading services can not only meet the needs of existing users, but also attract more digital financial enthusiasts. ZA Bank already achieved a monthly profit in July this year, and this new business may further drive revenue rise. As of the end of June 2024, ZA Bank had total assets of HK$20 billion, a deposit balance of approximately HK$16.8 billion (70% year-on-year), a total loan balance of approximately HK$5.619 billion, and a loan-to-deposit ratio of 33.4%. The bank's revenue in the first half of the year reached HK$255 million, a year-on-year rise of 45.9%, showing a stable rise momentum. Wu Zhonghao stressed that the development of digital financial services must go through a natural process from innovators to mass consumers. He is confident in the prospects of the cryptocurrency business, believing that the service will not only enhance user stickiness, but also further promote ZA Bank's revenue and market position. Renamed "Digital Bank" Founded in 2017, ZA Bank was one of the first eight banks in Hong Kong to obtain a virtual banking license. Since 2019, virtual banks have gradually entered the market and have accumulated a solid customer base and business model. Yue Wai-man, Chief Executive of the Hong Kong Monetary Authority, recently said: "At present, the number of virtual bank licenses is moderate, and there is no need to introduce new participants for the time being. At the same time, the HKMA is conducting a public consultation on the renaming of "virtual banks" to "digital banks" to be more in line with the current business characteristics. Related stories BSN Partners with Flare Network! Hong Kong pilots "anonymized real-name system" DID innovative solution USDC issuer Circle plans to enter Hong Kong: is waiting for stablecoin regulations to be released, backed by the mainland market is very large The first [Dynamic Block Gathering Hong Kong Session #001] grand debut! Hong Kong and Taiwan Connect Explores a New Model of Web3 Community Communication (ZA Bank Hong Kong Launches Cryptocurrency Trading!) Will CEX be fully attacked by banks? This article was first published in BlockTempo "Dynamic Trend - The Most Influential Block Chain News Media".