Hong Kong’s ZA Bank Launches Crypto Trading Services for Retail Users

Highlights:

• ZA Bank becomes Asia’s first bank to offer retail cryptocurrency trading for BTC and ETH.
• ZA Bank partners with HashKey for technology infrastructure to offer 24/7 crypto trading services.
• Transaction fees are waived until June, after which platform fees rise to 1.5% per trade

Hong Kong’s largest virtual bank, ZA Bank, announced that it has become the first bank in Asia to offer cryptocurrency trading services to retail users. Starting Today, the bank’s app will facilitate the buying and selling of Bitcoin (BTC) and Ethereum (ETH) using Hong Kong dollars (HKD) or US dollars.

Hong Kong residents will need to open an investment account with Zhongan Bank. They must also complete a risk assessment and other required procedures to qualify for cryptocurrency trading, the bank noted. Wu Zhonghao, the interim CEO of ZA Bank, expressed confidence in the new service. He believes it will boost the bank’s revenue through income generated from transaction fees.

Hong Kong Bank Just Bridged TradFi And The Blockchain

Hong Kong’s ZA Bank is officially the first in Asia to let retail users trade Bitcoin and Ethereum straight from their app using fiat.

No DEX, no swapping, just seamless, bank-backed crypto trading thanks to their hookup… pic.twitter.com/O2hoZh6T51

— Mario Nawfal’s Roundtable (@RoundtableSpace) November 25, 2024

ZA Bank Partners with HashKey to Offer Crypto Services

ZA Bank is partnering with HashKey, one of only three licensed virtual asset trading platforms regulated by the Hong Kong Securities and Futures Commission (SFC). HashKey supplies the technological infrastructure, including API trading and block trade services, for the initiative. Livio Weng, CEO of HashKey Exchange, stated that the exchange will continue to work closely with ZA Bank to advance the Web3 ecosystem and offer more diverse financial services to users.

ZA Bank Offers Low Fees and Easy Access for Crypto Traders

The minimum transaction amount is set at $70 or HK$600, ensuring the service is accessible to a wide range of investors. Although commission fees are waived until June next year, a platform fee of 0.8% will be applied during the promotional period. Following this period, the commission will be $1.99 or HK$15 per transaction, and the platform fee will increase to 1.5%, according to an announcement from ZA Bank. In comparison, online brokers Futu and Tiger, which also offer crypto trading in the region, charge fees of 0.08% and 0.05%, respectively, with minimum fees applicable.

ZA Bank’s Zhonghao explained that Hong Kong began offering virtual currency trading services to retail investors only last year. He said the bank had been preparing for this service for nearly a year. In addition to meeting compliance standards, trading will be available 24/7 to ensure stable and reliable service. Given the high-risk nature of the assets, marketing efforts will also emphasize customer education.

Crypto Market Rally Drives Bitcoin Towards $100K Amid Trump’s Re-election

The launch comes amidst the extended crypto market rally sparked by crypto supporter Donald Trump’s re-election as U.S. president. Over the past few weeks, Bitcoin has repeatedly broken its all-time high, recently nearing the $100,000 mark before dipping back to trade around $98,000. HashKey’s chief analyst, Ding Zhaofei, predicts that Bitcoin’s price will exceed $100K in the short term. However, he believes it will be challenging to sustain that price. He also speculated that inflationary issues could affect the U.S. financial market, making Bitcoin’s future difficult to predict.