Hong Kong State Banks weight Crypto

China’s state-owned banks are exploring the opportunity to provide banking services to local crypto firms in Hong Kong, as the city aims to become a hub for virtual assets. The anonymous sources cited in a recent report suggest that the Hong Kong branches of Bank of Communications, Bank of China, and Shanghai Pudong Development Bank are among those interested.

However, banking crypto companies has its own unique set of risks, such as the anonymous nature of digital tokens, which makes compliance with KYC standards a challenge.

Crypto-focused firms may take up to three months to open a corporate banking account, compared to non-crypto firms that only need a month, and may have to find workarounds to meet their operational banking needs.