![]() ![]() To recall, the US government also sought to ban TikTok and WeChat last year, but the social media giant managed to avoid it by inking a deal with Oracle, while the WeChat ban was blocked by a US court. Internet and entertainment services behemoth Tencent is also at target here, as two of the apps mentioned above – Tencent QQ and WeChat Pay – are owned by Tencent Holdings. However, Ant Group is not the only Chinese behemoth that will feel the heat. Whether the latest news is a tempest in a teapot or something more seismic remains to be seen.The executive order labels these eight apps a threat to national security Read more: China Bank Wants Digital Yuan to Dominate Alipay and WeChat Pay Most of the 1.4 billion people in China use either Alipay or WeChat Pay to make mobile payments, and the PBOC has said the digital yuan might serve as a backup to the established payments juggernauts. ![]() And bit by bit, it may be the case that putting up at least some guardrails against the way business - even digital business - has usually been done, the natural inclination may be for consumers, and now businesses, to really embrace a central bank digital currency (CBDC). Through the past several months, the PBOC has sought to pave the path, as it were, for the smooth issuance of the digital yuan. Yet, we note that the most recent changes come in the wake of a series of actions taken by regulators and the PBOC toward the payments giants. This not only confuses the nature of the transaction, but also leads to the distortion of transaction information, which affects risk monitoring.” ![]() “For example, some institutions use barcode transfer services for personal receipts to handle large-scale. “The government has decided to strengthen supervision due to the hidden risks of personal payment barcodes,” Tony Ling, a partner at China-based Bizantine Capital, said per the report. Want some further attempts at clarity, which we contend might only muddy that waters a bit?īlockworks reported the PBOC is simply requiring that businesses use business payment codes instead of personal ones, which is “a common scheme for small family-run businesses.” The Global Times reported a spokesperson from the PBOC has said the new regulation aims to strengthen industry management, close loopholes, cut off illegal chains and better protect the safety of individual merchant’s funds. The Global Times reported that, per a statement from the bank, the mainstream media reports are “misleading.” To get a sense of the mechanics of personal static collection codes, the personal static collection codes would ostensibly be banned from remote transactions (i.e, those not being conducted face to face at the terminal), among other settings.Īnd the PBOC has fired back. The ban, according to reports, extends to payment acceptance terminal businesses, special merchants and acquiring business monitoring. Separately, and as reported by PanDaily, with a nod toward the granularity and the mechanics of the ban - and, again, translated from the Chinese - it is the personal static codes that are being removed from use by businesses. In a translation of Chinese language accounts contained in China News, noted that the “notice” is reportedly aligned to “better protect the legitimate rights and interests of consumers and will help prevent criminals from stealing consumer personal information and even embezzling account funds by modifying payment acceptance terminals and applying for false merchants.” To that end, as reported by, the People’s Bank of China (PBOC) has banned the WeChat and Alipay payment codes for business beginning in March 2022. Or maybe not, depending on where you look.Īnd thus, some confusion reigns, at least for now. In China, what seems to be a crackdown on Big Tech - on the payments giants in particular - continues. ![]()
0 Comments
Leave a Reply. |