HSBC News: Hong Kong-based multinational bank HSBC has become the first foreign entity to join the United Arab Emirates’ Know Your Customer (KYC) Blockchain Platform.
HSBC joins UAE’s Blockchain platform
Dubai Economy’s media office announced the partnership in a blog post on Wednesday.
The KYC platform is a government-sponsored program launched by the UAE government in February 2020. Government agencies plan to expand the KYC initiative and position it as a “national corporate e-KYC Platform.” Dubai Economy has also announced a partnership with the Dubai International Financial Center (DIFC) Authority to expand its reach.
So far, six Dubai-based banks have joined Emirates NBD, Dubai Commercial Bank, Abu Dhabi Commercial Bank, RAKBANK and Mashreq Bank. HSBC stands out as the first foreign bank to join the venture.
HSBC welcomes the Blockchain revolution
The partnership will integrate HSBC into the Blockchain network and allow the bank to add new information to itself or use existing information from other banks to develop its client database.
Abdulfattah Sharaf, Group Managing Director, HSBC UAE CEO and International President of HSBC Bank Middle East Limited, said in a press release:
“By accessing up-to-date KYC data directly from Dubai Economy, we will be able to serve customers faster and focus more on core banking needs.”
The British-owned bank has in the past avoided public blockchains like Bitcoin and Ethereum. Earlier this year, the bank stopped its customers from buying shares of MicroStrategy due to the company’s exposure to Bitcoin. More recently, HSBC CEO Neil Quinn said that the bank does not want to promote cryptocurrencies due to their volatility and other related risks.