Crypto Firms in Hong Kong Get Boost as Regulators Host Meeting with Bankers

cryptonews.com:

Hong Kong officials plan to host a meeting between crypto companies and bankers in an attempt to ease financing for the sector as the city pushes toward becoming a global crypto hub.

The meeting, scheduled for April 28 at the Hong Kong Monetary Authority, is intended to “facilitate direct dialog” between the two sides and “share practical experiences and perspectives in opening and maintaining bank accounts,” Bloomberg reported Tuesday.

The report added that the Hong Kong Monetary Authority, the city's central banking institution, will hold the meeting jointly with the Securities and Futures Commission, another top regulator overseeing stablecoins and crypto exchanges.

The move comes as crypto companies are facing increasing difficulty when trying to set up corporate bank accounts in the city even for basic needs such as payroll accounts because of strict know-your-customer (KYC) and anti-money laundering (AML) rules. 

It also comes at a time when many crypto firms are looking for new banking partners in the wake of the recent banking crisis in the US that saw three major crypto-friendly banks, including Silicon Valley Bank, Silvergate Capital, and Signature Bank, close their doors. 

As reported, a number of Chinese state-owned banks in Hong Kong, including Bank of Communications, Bank of China, and Shanghai Pudong Development Bank, have either started offering banking services to local crypto firms or have made inquiries.

The development is considered an indication that the recent move by Hong Kong to become a major digital asset center has backing from mainland China. 

Last week, Hong Kong's Secretary for Financial Services and the Treasury, Christian Hui, said that more than 80 companies working in the digital asset space