Fintech News Hong Kong would like to take this opportunity to wish all our readers a Merry Christmas and a very Happy New Year. We will be taking a break from the 24th December 2020 to the 3rd January 2021. Until then, you can access some of our year-end articles that may be of interest to you. We look forward to seeing you all again on the 4th January 2021! https://fintechnews.hk/14341/hong-kong/6-developments-that-shaped-hong-kongs-fintech-industry-in-2020/ https://fintechnews.hk/14141/fintechchina/chinas-10-most-valuable-fintech-companies/ https://fintechnews.hk/13867/hong-kong/top-8-most-well-funded-fintech-startups-in-hong-kong-2020/ https://fintechnews.hk/13912/regtech/regtech-in-hong-kong/ https://fintechnews.hk/13052/virtual-banking/hong-kongs-eight-virtual-banks-the-progress-so-far/ https://fintechnews.hk/13887/events/5-key-highlights-from-day-one-of-hong-fintech-week-2020/

ZA Tech, the technology venture founded by insurance company ZhongAn Online and backed by Softbank’s Vision Fund, announced that it has formed a joint venture with the holding company of e-wallet OVO, to offer Indonesian insurance companies easy and secure access to ZA Tech’s proprietary insurtech capabilities and applications. Indonesia remains a highly underinsured market, with only 1.7% out of the over 265 million Indonesians currently covered by private insurance. It is also the fastest-growing market in ASEAN especially in the gig economy, with economic growth averaging over 5% in the past three years. Against this supportive backdrop, ZA Tech…

Hong Kong’s fintech industry continued to grow in 2020, on the back of rising adoption by incumbents and a rapidly expanding startup community. 86% of banks have adopted or plan to adopt fintech solutions across all types of financial services, according to a 2020 survey by the Hong Kong Institute for Monetary and Financial Research (HKIMR), the research arm and subsidiary of the Hong Kong Academy of Finance (AoF). Mobile banking, open banking (APIs), machine learning and predictive analytics, customer identification and authentication, as well as cloud computing were found to be commonly applied by over 40% to up to…

OSL, a digital asset platform and member of BC Technology Group, has received the license from Hong Kong’s Securities and Futures Commission (SFC) to operate regulated brokerage and automated trading services for digital assets following a rigorous vetting process. They previously received an approval in principle in August 2020. Upon going live, OSL Digital Securities will offer customers safe, secure and compliant trading access to Bitcoin, Ethereum and other high-quality cryptocurrencies, along with select security token offerings (STOs). In addition to the Hong Kong license, OSL has also applied to the Monetary Authority of Singapore for a digital asset license…

Velotrade, a digital trade finance marketplace, announced that its trade finance platform has been selected by MUFG Bank to manage its internal invoice processing requirements. The new system automates the processing of thousands of trade invoices every month by MUFG’s team in Hong Kong. Under the terms of this partnership, Velotrade recently delivered a highly-customised version of its Securities and Futures Commission (SFC) licensed platform to MUFG Bank’s Transaction Banking Office for Asia (TBOA). “Velotrade’s internet-based platform incorporates modern technologies that create efficiencies which traditional financial institutions need to compete effectively today. Our technology is already proven in the marketplace…

Visa has announced an accelerator programme for startups across Asia Pacific that are looking to expand their businesses into new markets. Partnering with global venture firm 500 Startups, Visa will select an elite group of up to six startups to be part of the first programme cohort. The Visa Accelerator Programme will focus on creating defined commercial opportunities for the startups to collaborate with Visa and its extensive network of bank and merchant partners in the region. The Visa Accelerator Programme is designed for startups that have launched successful solutions in their home markets, but are looking towards the next…

COVID-19 has speeded up digital transformation by several years. According to a new McKinsey Global Survey of executives, companies across regions and industries have accelerated the digitalization of their customer and supply chain interactions, as well as of their internal operations, by three to four years. In the financial sector, companies are taking steps to catch up with the changes induced by the pandemic, putting in the effort to address the rapidly evolving landscape and provide customers with better digital-first and mobile experiences. In Asia, the pandemic has shifted consumers to contactless payment apps, and digital banking, leading most banks…

Finantix, a provider of digital enabling software for the banking, wealth management and insurance sectors, has announced a series of senior appointments for the APAC region. The three new hires are Frances Ng and Lawrence Yin, joining them as Regional Sales Directors, and Clarisa Ele as the APAC Staffing Manager. Frances and Clarisa are both based in Singapore and Lawrence is based in Hong Kong. Before joining Finantix, Frances spent over five years overseeing regional sales at Experian and Swiss banking software provider, ERI Bancaire. Having worked in software and the technology sector covering South East Asia sales activities for…

Hong Kong Exchanges and Clearing Limited (HKEX) is set to introduce HKEX Synapse, a new settlement acceleration platform for its Stock Connect programme. The Stock Connect programme is a collaboration between the Hong Kong, Shanghai and Shenzhen Stock Exchanges which allows international and mainland Chinese investors to trade securities in each other’s markets through the trading and clearing facilities of their home exchange. Using DAML smart contracts, HKEX Synapse will standardise and streamline the post-trade workflows of Northbound Stock Connect, maximising efficiencies for market participants in a transparent, secure and reliable manner. Asset managers, brokers, global custodians, local custodians, and…

Citi hosted a virtual three-day Mega FinTech Accelerator featuring teams from 12 fintech firms who presented solutions for the digital economy. The three areas of focus were Seamless Payments and Receivables, Future of Open Banking as well as Data Empowerment. Designed to explore and accelerate the delivery of innovative solutions for clients, the Mega FinTech Accelerator was held with a primary focus on three countries namely Australia, China and Korea. Led by the Treasury and Trade Solutions Innovation Lab in Singapore, over 40 problem statements were identified. The Citi Innovation Lab in Singapore is part of Citi’s Global Innovation Lab…

Since the outbreak of COVID-19, contactless payments have soared and digital banking adoption has increased dramatically. In Q1 2020, MasterCard recorded more than 40% growth in contactless transactions globally. In the US, which has traditionally lagged other countries in digital adoption, 35% of customers have increased their online banking usage during COVID-19, and banks have reported all-time highs in the number of mobile logins. In response to rapidly changing customer behaviors, banks around the world have significantly increased their focus and efforts on digital transformation, recognizing the importance of getting this right in order to remain competitive and gain or…

China’s ten most valuable fintech companies are worth a combined of nearly US$500 billion, according to a new report by Hurun Research Institute. The research platform recently released its list of the country’s most valuable fintech companies ranked by market capitalization or valuation. These companies mainly operate in the fields of wealth management, micro-finance and payments, among other sectors, and primarily operate under a business-to-consumer (B2C) model (eight out of the ten). Ant Group – 2.1 trillion yuan (US$313 billion) Ant Group, formerly known as Ant Financial and Alipay, is an affiliate company of the Chinese Alibaba Group and the…

Hong Kong leading digital tech park Cyberport is doubling down on blockchain commitment, multiplying initiatives to support promising startups and foster entrepreneurship. Throughout the years, Cyberport has promoted blockchain applications through a range of activities and programs, including the Blockchain and RegTech Speaker Series, held between August and October this year, as well as Hong Kong Blockchain Week, organized with NexChange, that will take place in mid-November. Most recently, the digital tech park announced a new startup program called Block AdVenture for which it teamed up with industry leader R3 and fintech consultancy firm Forms Syntron (Forms HK). The program…

The Hong Kong FinTech Week 2020 came to a close last Friday on the 6th November with reportedly 1.2 million viewer tuning in for the fully virtual event. The three-day main conference and over 30 satellite events featured important announcements, thought-provoking debates and panel sessions covering all aspects of financial technology. It was co-organised by Invest Hong Kong (InvestHK), the Hong Kong Monetary Authority (HKMA), the Securities and Futures Commission (SFC) and the Insurance Authority (IA), and supported by the Financial Services and the Treasury Bureau. The event had more than 100 hours of content, saw over 18,000 total business…

Cyberport’s annual flagship tech investment two-day event, Cyberport Venture Capital Forum (CVCF) came to a close and recorded a total of 97,000 views on its virtual event platform. The forum also featured two international events – the inaugural Edventures Global Business Acceleration Summit and the Silicon Dragon HK 2020, gathering international venture capital experts, investors, innovative technology companies, as well as startups from the Cyberport community. Held in a virtual format for the first time, the two-day CVCF main forum attracted more than 1,700 participants this year since its launch on 21 October. The forum also arranged one-on-one meetings between…

Coherent, provider of digital platforms to insurers, raised US$ 14 million in a Series A funding round led by global VC fund Cathay Innovation, with participation from Franklin Templeton. Founded in Hong Kong, Coherent provides digital platforms and data intelligence engines to help large and growing insurers evolve their businesses and processes to meet the demands of the post-COVID future of insurance. The investment provides Coherent with the ability to invest and rapidly expand its operations and capability. Coherent will add technology and actuarial talent to its growing workforce at its current offices in Hong Kong, Singapore, Shanghai and Manila…

Finastra, London-based financial services software provider, has established an office at Cyberport in Hong Kong. Cyberport is a digital community has been in operation since 2004 with more than 1,500 companies in its network, among which nearly 400 are fintech startups. This move will place Finastra at the heart of Hong Kong’s fintech community, enabling it to build relationships with new and existing partners as well as facilitating collaborations. Eric Duffaut, President and Global Head of Customer Operations, Finastra said, “Cyberport brings together a growing community of fintech investors and startups. By placing ourselves at the heart of this community,…

With the sweeping changes and unprecedented challenges brought by 2020, it’s time to rethink the tools and technologies you use to innovate and grow, and how your people and processes are structured for success. Start solving these challenges with Google Cloud by joining us for a hands-on event featuring business use cases and technology know-how, along with spotlights on finance and retail. Google Cloud would like to invite you to a hands-on digital event where we can help you start solving your biggest challenges. Join us on 25-26 November for Cloud OnAir: Let’s Get Solving: How to unlock strategy and…

Hong Kong is amongst the world’s top ten fintech hubs, and home to at least eight unicorns including cross-border payment services provider Airwallex, digital wallet operator TNG Fintech, and online lending platform and virtual bank operator WeLab. Over the past year, a lot of developments have taken place in the local fintech scene. Hong Kong issued eight virtual banking licenses, and most of the licensees have already gone live. Online brokerage Futu Securities and blockchain services firms Diginex both went public in the US. And the Hong Kong Securities and Futures Commission released a licensing framework for digital asset exchanges.…

Day 3 of Hong Kong Fintech Week continues to be jam-packed with some of the industry’s brightest minds and thought-provoking discussions. With a dizzying amount of sessions happening, this is the third in our series daily summaries of the Hong Kong Fintech Week. You can also read more about the key highlights from Day 1 and Day 2 as hyperlinked. Impact of Artificial Intelligence on the Future of Society Sophia, the robot developed by Hong Kong-based company Hanson Robotics, and Inventor David Hanson shared their perspective on the potential impact of Artificial Intelligence on society and the future. David said…