Tencent-backed WeBank has entered Hong Kong’s Web3 industry through its new subsidiary, WeBank Technology Services, which began operations in January.

The subsidiary aims to contribute to Web3 infrastructure in Hong Kong while complying with regulatory standards.

WeBank’s chief information officer Henry Ma highlighted the need for a “robust and regulator-friendly Web3 infrastructure” in the city, which is positioning itself as a hub for virtual assets.

Founded in 2014 by Tencent and other Chinese companies, WeBank is China’s largest online-only lender.

Last year, it was valued at 235 billion yuan (US$32.4 billion), making it the 10th largest unicorn globally, according to a Hurun Research Institute report.

In addition to digital banking, WeBank operates an open-source blockchain platform called FISCO BCOS, which supports over 500 applications sectors such as finance, government, and education in China.