HSBC spearheads $6.85 million investment in Hong Kong-based blockchain insurance startup, MediConCen. The funding aims to enhance the claims process by streamlining it through digitalization and AI assistance. Alongside HSBC, other investors such as G&M Capital, ParticleX, and new investor Wings Capital Ventures participated in the funding round.
MediConCen, headquartered in Hong Kong and established in 2018 as an incubatee at Cyberport, focuses on transforming the traditional paper-based and human-centric claims process into a digital and AI-driven journey. With a total funding of $12.7 million, the startup plans to accelerate its growth in international markets, particularly in the Middle East and Southeast Asia.
William Yeung, Head of MediConCen, highlights the utilization of the latest AI and blockchain technology to revolutionize the insurance sector’s claims journey. Kara Byun, Head of Fintech at HSBC Asset Management, emphasizes the investment’s objective to simplify and expedite the claims process while ensuring fairness in claim amounts, supported by robust technology infrastructure.
MediConCen’s cashless claim platform, serving over 16 insurers and more than 1 million insured individuals, has garnered participation from over 1,200 medical providers. For HSBC, this investment aligns with its commitment to digitalization efforts in Hong Kong, complementing its initiatives such as exploring tokenization of financial instruments and piloting central bank digital currencies in the region.
HSBC’s involvement in financial experimentation includes enabling clients to trade Bitcoin (BTC) and Ethereum (ETH) futures through its investment platform and partnering with a Ripple-owned firm for blockchain initiatives targeting institutional clients interested in real-world assets hosted on-chain.