Hong Kong Blockchain News Hong Kong Authorities Remind Banks Not to Be Too Hasty in Rejecting Digital Asset Clients


Hong Kong’s financial regulators have reminded banks not to be too quick in rejecting clients involved in digital assets. The move comes as some banks have been rejecting clients involved in digital assets due to concerns over money laundering and other risks.

The Reminder

The Hong Kong Monetary Authority (HKMA) and the Securities and Futures Commission (SFC) have issued a joint statement reminding banks that they should not automatically reject clients involved in digital assets. The statement notes that banks should assess each client on a case-by-case basis and take into account factors such as the client’s risk profile and the nature of the digital asset involved.

The Reasoning

The regulators note that while digital assets do pose risks, they also have the potential to bring benefits to the financial system. They also note that rejecting clients involved in digital assets could drive them to use unregulated platforms, which could increase the risks to the financial system.

The Background

The reminder comes as some banks have been rejecting clients involved in digital assets. In some cases, banks have closed accounts without warning, leaving clients without access to their funds. The move has caused concern among digital asset investors and has led to calls for clearer regulations.

The Future

The regulators note that they are working on developing a regulatory framework for digital assets. They also note that they are working with other regulators around the world to develop international standards for digital assets.

Related:Crypto Insiders Exclusive Interview: InvestHK Fintech Head Terry Chan on Web3 Development in Hong Kong


The reminder from Hong Kong’s financial regulators is a welcome move for digital asset investors who have been facing difficulties in accessing banking services. The move also highlights the need for clearer regulations around digital assets, which could help to reduce the risks associated with these assets.

Official Accounts

Official Telegram Channel: https://t.me/CryptoInsidersOnline
Official Instagram Account: https://www.instagram.com/cryptoinsiders_news
Official Twitter Account: https://twitter.com/CryptoinsiderHK

Related Articles

Understanding ERC-223 Tokens: A Safer Approach to Gas Fees and Enhanced Security

Dive into the world of ERC-223 tokens, offering enhanced security and efficient gas fee management in blockchain transactions. Learn how they safeguard against loss in unsupported...

What is ERC-6551: the Future of NFTs

Discover ERC-6551, a transformative standard in the NFT landscape, enhancing asset ownership, social identity, and enabling autonomous actions...

The Power of Trustless Smart Contracts and Optimism Layer Two: Insights from Perpetual Protocol Co-founder

Explore the transformative power of trustless smart contracts, DeFi innovations, and the Arbitrage Vault. Learn about Optimism Layer Two and Perpetual Protocol's...
You have not selected any currencies to display