The Chinese payment platforms WeChat Pay and Alipay are both working on blocking cryptocurrency payments.
In a message from Tencent, the developer and maintainer of WeChat, are saying that they have established a risk control model to identify cryptocurrency transactions. Furthermore, they will restrict the ability for people to receive and collect cryptocurrency funds and ensure that the limit an account can receive is only enough to meet the daily business use. This is something that Tencent will monitor in real-time by using their risk control model, and by doing direct actions against users.
Tencent then goes to warn their users of the risks of participating in ICOs and other types of cryptocurrency transactions, and that these practices are not based on blockchain technology, but is rather using blockchain concepts for illegal fundraising and fraud.
In a statement from Ant Financial, it is said that Alipay and Ant Financial Services will monitor over-the-counter transactions of Bitcoin and other currencies and that they inspect vital websites and accounts involved in cryptocurrencies. They will also work on educating users on the platform in various ways so that they will recognize the risks of virtual currency transactions and not be fooled by frauds so that they will not suffer loss.
While Ant Financial is combating cryptocurrency, it is at the same time the world leader in blockchain patents with a total of 49 approved patents. However, having a lot of patents is not something that is unique to Ant Financial. China is the global leader in blockchain patents and has invested $3 billion to fund blockchain projects, and are working hard on adopting blockchain technology.
At the same time, China has been working hard on cracking down on events surrounding ICOs and cryptocurrencies. Recently the cryptocurrency exchange Binance had to cancel an event that was to be held in Beijing due to demands from the government. It seems that the line China is taking is that it will continue to crack down on trading with cryptocurrencies, but will work hard on adopting blockchain technology.
Image Source: “Flickr”
Bought my first Bitcoin in 2013, but when Ethereum was released in 2015 I decided to make cryptocurrency my biggest focus in life since I realized what impact smart contracts will have on society. It has since then been my biggest passion in life and it usually takes up most of my waking hours. I like to program and have followed and interacted with what happens in blockchain pretty much constantly during this time, and spent countless hours researching this amazing technology. I believe this is why I have a good technical understanding of all the different blockchains and its concepts, which is something I try to do my best to spread while working at Toshi Times.