Xiaomi-Backed Virtual Bank Announces Hong Kong Pilot
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AirStar Bank has announced the launch of a pilot trial in Hong Kong, which will be conducted within the Hong Kong Monetary Authority’s Fintech Supervisory Sandbox.
About 2,000 friends and families of the staff of Airstar, Xiaomi Hong Kong and AMTD Group will be onboarded to the virtual bank to gather user feedback and gauge requirements ahead of a full roll-out, according to an announcement by the bank on Tuesday.
The bank is a joint venture virtual bank between Chinese electronics company Xiaomi and AMTD Group – Asia’s largest independent corporate finance and advisory house.
According to the announcement, Airstar will offer tiered-pricing savings deposits and time deposits, and is promising up to 1 percent per annum for HKD saving deposits between HKD 500,000 ($64,500) and HKD 1,000,000. It will also offer unsecured lending products at transparent pricing with interest accrual on a daily basis.
Airstar was among eight firms to receive a virtual bank license from HKMA in 2019. It is the second among the group to launch trials, following ZA Bank, which started operations in March this year.
Currently Xiami has commenced pilot trial onboarding round 2,000 customers from friends and families of the staff of Airstar, Xiaomi Hong Kong and AMTD Group.
Questions & Answers
Q.Which other company has launched a virtual bank trial in Hong Kong?
Which other company has launched a virtual bank trial in Hong Kong?
ZA Bank was the first to launch trials among the eight licensed firms. It began its operations in March this year, preceding Airstar's pilot.
Q.What kind of banking products will Airstar Bank offer to customers?
What kind of banking products will Airstar Bank offer to customers?
Airstar will provide tiered-pricing savings deposits and time deposits. They also plan to offer unsecured lending products with transparent, daily-accruing interest.
Q.What interest rate is Airstar Bank offering for Hong Kong dollar savings deposits?
What interest rate is Airstar Bank offering for Hong Kong dollar savings deposits?
Airstar is promising up to 1 percent per annum for HKD savings deposits. This rate applies specifically to balances between HKD 500,000 and HKD 1,000,000.
Q.Who are the joint venture partners behind Airstar Bank?
Who are the joint venture partners behind Airstar Bank?
Airstar Bank is a joint venture between the Chinese electronics company Xiaomi and AMTD Group. AMTD Group is described as Asia's largest independent corporate finance and advisory house.
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