This landmark development also places ZA Bank among the pioneering batch of banks in the city to offer such services. The move follows the HKMA’s recent initiative to open sandboxes for stablecoin issuers, underscoring Hong Kong’s commitment to becoming a global leader in the fintech and Web3 ecosystems.

Partnership to enhance digital asset stability

In a significant first step, ZA Bank has partnered with RD InnoTech Limited (“RD InnoTech”), which is in the first batch of HKMA’s sandbox participants. RD InnoTech will be the inaugural stablecoin issuer to leverage ZA Bank’s reserve banking services. This partnership marks a critical advancement in strengthening the stability and reliability of digital assets, paving the way for broader adoption and trust in stablecoins.

Supporting web3 development with promising clients’ pipeline

ZA Bank CEO Ronald Iu said: “We are thrilled to be the first digital bank in Hong Kong to offer innovative banking services for stablecoin issuers. This successfully integrates traditional banking with fintech innovation. Our partnership with RD InnoTech is a testament to our shared vision of fostering innovation and enhancing the stability of digital assets.”

“We are currently onboarding nearly 10 additional stablecoin clients with more in the pipeline. We fully support the HKMA’s policies and are pleased to see such progress with the sandbox initiative. By providing a secure and reliable banking infrastructure with greater security for users, we aim to build greater trust and confidence in the stablecoin market. ZA Bank is committed to supporting the Web3 development, and we will continue to introduce more services and products in line with government policies, reinforcing Hong Kong’s position as a global virtual asset hub.”