SEBA Bank May Soon Offer Crypto Services in Hong Kong (Report)
Switzerland-based financial institution that focuses on cryptocurrencies – SEBA Bank – has reportedly received in-principle approval from Hong Kong’s securities regulator.
The company will now have to comply with additional conditions for final approval before being eligible to provide digital asset services to local consumers.
One step away from offering crypto services
Based on Bloomberg coverage, the Hong Kong Securities and Futures Commission intends to grant authorization to a Swiss organization to engage in securities dealings, such as providing crypto-related structured products and managing digital assets, after meeting necessary regulatory requirements. Is.
SEBA Bank provides both traditional financial services and services related to cryptocurrencies. It can act as a custodian, while customers are also able to stake Ethereum (ETH), Polkadot (DOT), and Tezos (XTZ).
Amy Yu – the company’s Asia Pacific chief executive officer – said that SEBA Bank has seen an increased demand for derivatives from cryptocurrency firms seeking to hedge their positions.
He said interest in structured products is also high, claiming that final approval from Hong Kong regulators should come by the end of 2023.
The executive explained that SEBA Bank will aim to assist local crypto firms that lack brokerage services, suggesting that they are “not typically associated with traditional financial market providers.”
As crypto potato As reported in early April, officials from China’s special administrative region planned to hold a meeting between bankers and domestic digital asset businesses in a bid to establish closer ties between the two regions. Earlier, Hong Kong subsidiaries of Bank of China, Bank of Communications and Shanghai Pudong Development Bank started offering their services to local crypto firms.
Yu said the organization will focus on high net worth individuals and family offices. SEBA Bank’s Asian ambitions do not end with Hong Kong, Singapore could potentially be the next destination, he concluded:
“We initially focused on Hong Kong, the first jurisdiction in the region. But we are still exploring Singapore.
focus on hong kong
Hong Kong’s friendly approach to the cryptocurrency industry has become a reason for many digital asset firms to locate in the region.
Jeremy Allaire, co-founder and CEO of stablecoin-issuer Circle, said in June that his organization was closely following regulatory developments in the Asian megalopolis. He also noted Hong Kong’s efforts to emerge as a “very important center for digital markets and stablecoins.”
Allaire argued earlier this year that regulatory uncertainty in the US could push investors out of the country. Highlighting progress in Hong Kong, Singapore and the European Union, he claimed local government must act fast.
Major cryptocurrency exchanges have also targeted the Special Administrative Region of China. OKEx applied for a Virtual Asset Service Providers (VASP) license in March, while Huobi began offering crypto spot trading and custody services in early summer.
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source: cryptopotato.com