Blockchain Adoption In China Gets Boost Thanks To Agreement With HKMA

•  The Hong Kong Monetary Authority signs an agreement with a People’s Bank of China (PBoC) subsidiary

• Both central banks will be shown off by other businesses

• Artificial intelligence in the banking sector

The technology behind bitcoin, blockchain has just received a brand new endorsement from China in the shape of a development agreement with the central bank of Hong Kong. 

Earlier this week on the 6th November, the Hong Kong Monetary Authority (HKMA) posted a news post confirming that it had signed a Memorandum of Understanding (MoU) with a subsidiary of the People’s Bank of China (PBoC).

Trade Finance

The deal looks to come up with a Proof-of-Concept for a trading finance platform from the first quarter of next year via linking up two current projects including the HKMA’s eTradeConnect and the PBoC’s Trade Finance Platform. 

Both of the central banks will be shown off by other business affiliated with the Hong Kong Interbank Clearing Limited and the Institute of Digital Currency of the PBoC.

“Once the connection has successfully been established, it will provide firms in both places with more convenient trade finance services and enable banks in Hong Kong to expedite the expansion of their trade finance business,” the post adds.

The post also talks about artificial intelligence in banking a it states:

“The HKMA is conducting a study on the application of AI technology in the banking industry and will release a series of publications. To begin with, the HKMA published today a fact sheet to highlight the key facts and figures revealed in an industry-wide survey conducted in Q3 2019. One of the key findings shows almost 90% of the surveyed retail banks have adopted or plan to adopt AI applications.”

It will be interesting to see how this situation plays out. For more news on this and other crypto updates, keep it with CryptoDaily!