(Yicai Global) July 30 -- Hong Kong’s digital-only WeLab Bank, backed by China’s e-commerce giant Alibaba Group Holdings, started offering its virtual services to customers today, its operator Fintech firm WeLab Group said.

WeLab Bank is only the fourth lender to be granted a virtual banking license by the Hong Kong Monetary Authority, which it received in April 2019, as the special administrative region moves to foster the Fintech scene and challenge the traditional banking system.

WeLab Group specializes in online consumer credit platforms and virtual banking. It has raised over USD580 million since its founding in 2012. Backers include Alibaba, Holland’s ING Bank, US venture capital firm Sequoia Capital and Malaysian sovereign fund Khazanah Nasional Berhad.

The Hong Kong-based group has 45 million customers across the Chinese mainland, Hong Kong and Indonesia.

Other digital-only banks already operating in Hong Kong are Chinese online insurance firm ZhongAn’s ZA Bank and Chinese electronics giant Xiaomi’s Airstar Bank. While four licenses have been granted so far, only three are in business.

Editor: Kim Taylor