The Hong Kong Monetary Authority (HKMA) delegation, led by Chief Executive Eddie Yue, concluded a three-day visit to Kuala Lumpur, Malaysia, aimed at strengthening financial collaboration between the two countries. During the visit, the delegation held bilateral meetings with Bank Negara Malaysia (BNM), focusing on strategic areas such as digital finance, fintech, green and sustainable finance, payment systems, the use of local currencies for cross-border trade, and Islamic finance. Representatives from both the HKMA and the BNM also participated in the Malaysia Business Forum, organised by the Hong Kong Association of Banks.  The forum, attended by over 160 senior representatives…

OSL Group, a publicly listed company in Hong Kong dedicated to digital assets, will be included in the MSCI Hong Kong Index following the market close on 31 May 2024. The MSCI Hong Kong Index is part of the broader MSCI World Index series and serves as a benchmark for global institutional investors. Inclusion in this index is determined through a systematic evaluation of a company’s market capitalisation, liquidity, and overall financial health. This development enhances the visibility of OSL Group on the global stage and underscores its standing in the financial sector, particularly through its inclusion in the MSCI…

In response to the rapid integration of Artificial Intelligence (AI) in banking, the Hong Kong Monetary Authority (HKMA) announced updated guidelines focused on manpower development and training in the banking sector. This initiative reflects the HKMA’s commitment to supporting the industry’s adaptation to AI advancements while ensuring sustainable employment practices. As AI technology reshapes financial services, banks are enhancing their operational efficiency and customer service through automated processes and data-driven insights. However, the rise of AI also brings forward concerns regarding the potential displacement of jobs traditionally performed by humans. Learning from past technological integrations, such as the introduction of…

OKX Hong Kong has officially withdrawn its application for a crypto license, leading to significant changes in its service offerings to Hong Kong residents.  In accordance with this development, OKX Hong Kong will discontinue providing centralised crypto trading services in Hong Kong effective 31 May 2024. This strategic decision was made after thorough consideration of the company’s long-term business strategy and in alignment with regulatory compliance standards. OKX HK ensures all customer funds remain secure and accessible, with withdrawal services continuing unaffected beyond the stipulated date.  However, after 31 May, customers will only have the option to withdraw their funds…

Visa has announced a series of new payment technologies designed to enhance the digital transaction experience in the Asia Pacific region. These innovations include solutions aimed at increasing transaction flexibility, enhancing security, and streamlining the consumer shopping experience. A key introduction from Visa is the Visa Flexible Credential, which simplifies how consumers manage their finances by allowing them to toggle between different payment methods—such as debit, credit, Buy Now Pay Later options, or rewards points—using a single card product. This solution, known as “Olive” to Sumitomo Mitsui Card Company cardholders, is currently available in Hong Kong, Japan, the Philippines, Singapore,…

The Office of the Privacy Commissioner for Personal Data (PCPD) has concluded its investigation into the Worldcoin project, finding it in violation of Hong Kong’s Personal Data (Privacy) Ordinance (PDPO). Concerns over the privacy risks posed by Worldcoin’s operations in Hong Kong led the PCPD to initiate the investigation in January 2024. Worldcoin, a cryptocurrency project developed by OpenAI CEO Sam Altman, aims to promote digital identification through iris scanning technology. Since its launch over nine months ago, the project has attracted over 10 million users globally, including 8,302 participants in Hong Kong who had their facial and iris images…

An increasing number of crypto firms are withdrawing their license applications to be a virtual asset trading platform (VATP) in Hong Kong. Among them are Willows Asia Technology Company Limited (IBTCEX) and QuanX Lab Limited both withdrew their applications on 13 May 2024. Similarly, HBGL Hong Kong Limited (Huobi HK), the Hong Kong affiliate of Justin Sun’s cryptocurrency exchange HTX, has withdrawn its application for the VATP license for the second time. Other firms that have withdrawn or had their applications returned include AMMBR (HK) LIMITED, BitHarbour (Hong Kong) Limited, Meex Digital Securities Limited, and BX SERVICES LIMITED (HKVAEX). To date,…

FWD Group, a multinational insurance company based in Hong Kong, has announced a five-year technology services agreement with Amazon Web Services (AWS) as part of its ongoing cloud-first strategy. Under this extended collaboration, AWS will continue to host FWD’s core business applications, including finance and customer interfaces. This partnership aims to enhance FWD’s agility, scalability, and resilience as the company transitions away from operating its onsite data centers. Cloud technology has significantly benefited FWD’s software development and deployment, speeding up time-to-market and improving customer experiences. By the end of 2023, FWD had migrated 97% of its applications to the cloud,…

The InsureTech Connect Asia (ITC Asia) conference is set to bring together leading figures in the insurance industry at the Sands Expo & Convention Centre in Singapore from 4-6 June 2024. The event will gather 1,800 attendees, with 75% being senior decision-makers from over 40 countries, to discuss the future of insurance through innovation and digital transformation. The conference will open with a keynote panel featuring prominent insurance regulators from across Asia, including the Monetary Authority of Singapore, Japan’s Financial Services Agency, Thailand’s Office of Insurance Commission, India’s Insurance Regulatory and Development Authority, and Bank Negara Malaysia. These experts will…

Hong Kong residents can now set up digital yuan (e-CNY) personal wallets using only their Hong Kong mobile phone numbers. These wallets, which can be topped up via the FPS through 17 retail banks, are designed for cross-border payments but do not support person-to-person transfers. The e-CNY can be used in various Mainland pilot areas, including the Guangdong-Hong Kong-Macao Greater Bay Area (GBA). This is a major step forward in the e-CNY pilot programme for cross-border payments by the Hong Kong Monetary Authority (HKMA) and the People’s Bank of China (PBoC). The initiative aims to expand the use of e-CNY…

The Hong Kong Monetary Authority (HKMA) has announced that Arthur Yuen’s tenure as Deputy Chief Executive has been extended for two additional years beyond the standard retirement age. This decision, approved by the Financial Secretary based on the advice of the Governance Sub-Committee of the Exchange Fund Advisory Committee, will take effect in August 2024. Yuen, who joined the HKMA in 1996 as Head of Administration, has held various significant roles throughout his career. He has worked on research and liaison concerning China’s economic and market development issues before being appointed Head of Banking Supervision in 2000. Yuen then served…

HBGL Hong Kong Limited, the Hong Kong affiliate of cryptocurrency exchange HTX (formerly Huobi Global), has withdrawn its application for a virtual asset trading platform (VATP) licence for the second time, leading to the required closure of its Huobi HK operations under city regulations. The Securities and Futures Commission (SFC) removed HBGL from the list of cryptocurrency exchange licence applicants this Tuesday after withdrawing their application. HBGL first applied for the licence on 20 February, withdrew it shortly after that on 23 February, and resubmitted on 26 February, just days before the city’s deadline for crypto exchanges to legally operate.…

Standard Chartered announced that it had completed the first Euro-denominated cross-border transactions between Hong Kong and Singapore. This milestone makes it the first Euro settlement bank to go live on Partior, the global unified ledger for clearing and settlement. This initiative is part of Standard Chartered’s ongoing efforts to integrate blockchain innovations into its payment systems, enhancing transparency, efficiency, and security in global financial transactions. The Euro-denominated cross-border transactions, conducted with Siemens AG and iFAST Financial Pte Ltd on 13 and 14 May, mark a significant integration of distributed ledger technology (DLT) with core banking systems of Standard Chartered. This…

Standard Chartered Bank (Hong Kong) Limited (SCBHK) has collaborated with Mox Bank, Mastercard, and Libeara to complete a proof-of-concept (POC) pilot under the Fintech Supervisory Sandbox of the Hong Kong Monetary Authority (HKMA). The pilot focused on the tokenisation of deposits and carbon credits, aiming to enhance the settlement process of tokenised assets and contribute to developing the tokenisation market in Hong Kong. This pilot, the first live test of the Mastercard Multi-Token Network (MTN), facilitated a transaction in which a Mox client purchased a tokenised carbon credit to offset personal carbon usage. SCBHK used Libeara’s platform to tokenise the…

ZA Bank has released a report revealing that 80 per cent of its fund investors made a profit in 2023, collectively earning more than HK$40 million. The bank, which introduced its investment fund services in August 2022, has partnered with leading international fund managers to provide over 120 investment fund products and achieved an impressive eight-fold increase in total fund assets under management throughout the year. According to the report, 60 percent of the fund investors of ZA Bank hold money market funds, with an average holding amount surpassing HK$170,000. In addition, over 30 per cent of fund investors have…

Prudential has officially closed its Hong Kong wealth management business, Pulse Wealth, according to a statement released to Reuters. This move is part of a broader initiative by the company to streamline its operations and focus more effectively on other wealth management offerings within the Hong Kong market. The closure aligns with the company’s strategic shift, similar to its recent actions in Singapore, where it shut down another wealth management platform last September. Simultaneously, Prudential is increasing its commitment to the Hong Kong wealth sector by establishing a dedicated team targeted at high-net-worth individuals to leverage local market opportunities more…

During the recent Bitcoin Asia conference at the Kai Tak Cruise Terminal, Han Tongli, CEO and Chief Investment Officer of Harvest Global Investments, discussed potential future developments for cryptocurrency investments in China. Harvest CEO Han Tongli mentioned that the company is open to applying for its ETFs, which directly invest in crypto tokens, to be included in the connect program linking exchanges in mainland China and Hong Kong, provided that “everything goes smooth and well” over the next two years. This inclusion would allow mainland Chinese investors direct access to these digital assets, significantly diversifying their investment opportunities. ETF Connect,…

In an era dominated by digital innovation, the banking sector is evolving rapidly to meet the modern consumer’s demands for seamless and integrated financial services. This movement towards “invisible banking” marks a departure from traditional banking practices, offering a glimpse into a future where banking is an invisible, yet integral, part of daily life. This concept, underpinned by core modernisation represents a future where the need for physical bank branches or dedicated banking applications fades, giving way to seamless financial services embedded in daily activities like shopping, travelling, or socialising. The imperative of invisible banking The banking industry’s journey towards…

ZA Bank, a virtual bank in Hong Kong, has reported a substantial increase in its financial performance for the past year, marking a positive shift towards operational stability. The bank’s net interest income rose by 36 percent year-on-year while its management expenses decreased, leading to a 20 percent reduction in losses. Ronald lu, Chief Executive Officer of ZA Bank, highlighted in a recent interview that the bank’s customer deposits reached HK$11.7 billion by the end of last year, with a notable 50 percent increase in the first quarter of the current year compared to the end of last year. This deposit…

The Securities and Futures Commission (SFC) has issued a public warning about suspected fraud involving the entity known as “Quantum AI,” which claims to offer cryptocurrency trading services enhanced by artificial intelligence (AI) technology. The SFC has raised concerns that Quantum AI has employed AI-generated deepfake videos and images to falsely suggest that Elon Musk is associated with the development of their technology.  This deceptive use of deepfake content by Quantum AI aims to mislead the public about the involvement of Elon Musk. Further suspicions have been raised regarding Quantum AI’s use of a “news” website to disseminate misleading information…