Internationalization of Third-party Payments

Third party payment licences finally settled, 27 Third-party payment Enterprises received the first batch of payment business license.

The issuance of licences has led to many discussions and focused on the many areas of business development in which Third-party payments are "legalized" and "equal to banks". However, it is often overlooked that the revolutionary development of global E-commerce has made the third party pay a greater mission, and this mission is closely related to the internationalization of the renminbi.

RMB settlement

The Chinese government has become more pressing for the internationalisation of the renminbi in the aftermath of the financial crisis of 2008, a financial crisis that many see as a new "looting" of the world's wealth by the U.S. government through the dollar. If the renminbi is to rival the dollar in international currency settlement, at least China's financial system and real-world economy can be more defensive in a crisis. The Chinese government has made two major efforts:

One is to determine the status of the two major financial centres, strengthen and expand the global enterprises in the international settlement of the renminbi. Including the financial center in Hong Kong on the basis of strengthening the status of Shanghai International Financial Center, and gradually formed the London, New York, Japan, Tokyo, China, Hong Kong, China, Shanghai and other world's major financial cities. In the process of resisting the crisis, China's economy has shown a strong vitality, the renminbi has won general acclaim for its relatively stable value, and gradually become "hard currency" in the surrounding countries and regions circulation, which makes more and more countries realize that the renminbi should go abroad and assume the function of regional and international currency. This is the current international community on the relationship between the dollar and the renminbi general understanding, this consensus makes the possibility of internationalisation of the renminbi greatly enhanced.

RMB through traditional enterprise trade "international Settlement" this road must be more bumpy and long, from the United States dollar, the euro and even the yen and other international currency Sniper is expected! This kind of sniper also causes many enterprises in the payment settlement face the strong currency helpless compromise, finally abandons the renminbi to continue to use the dollar, the euro or the yen to settle.

Two via UnionPay system, through the bank card, especially the international credit card into the terminal consumer settlement system, such a system quickly encountered from Visa sniper: In early June 2010, international card organization visa to its global member Bank letter, request from August 1, 2010 onwards, When accepting a two-currency credit card with a visa mark, "4" at the beginning of the Chinese mainland, no matter whether the card is consumed or ATM is taken, the settlement channel of UnionPay must not be taken. Visa will be fined 50,000 dollars for the first time. If you do that again, you will be fined 25,000 dollars a month. From this point of view, Visa is very clear that the Chinese government wants via unionpay to promote renminbi international settlement of the "ambition"!

The previous two lanes each have powerful opponents sniper, although they are very strong, but in the face of the dollar's strong position on China's future economic development and the history of blood, China will not be able to accept the outcome of the country, such as Japan, which doomed the Chinese government can not abandon the two efforts. Just for businesses and consumers to settle efforts, whether it is resistance or time, seems to be a little long. Therefore, in the context of the globalization of electronic commerce, the third party payment is quickly put on the agenda.

Scouring Japan for water test

The 2010 "Non-financial institutions payment Services management measures" is also reasonable, as China's largest and most users of the world's Alipay know its responsibility, in the way the one months before the introduction of Taobao announced into Japan appears to be not a sudden event, should be prepared early, It can even be said to be for Alipay in the RMB internationalization settlement. After all, the yen is the most powerful currency in Asia, and one of the first obstacles to the internationalisation of the renminbi.

Amoy Japan's opening, so that Japan's sellers can be more easily in China to sell goods, and do not need to open a physical shop in China, so the final payment settlement is also likely to be directly in the Alipay platform to complete, after all, Taobao's largest and only payment system only Alipay. As a result, the renminbi becomes the settlement currency of the yen and is done naturally on a Alipay platform under Chinese Government supervision!

If the Japanese model is a huge success after running, China's domestic consumer market will become the coveted important consumer market in other countries, in the interests of the trend, the major enterprises will naturally accept Alipay such a renminbi settlement platform, the implementation of the resistance naturally a lot of small, even no resistance!

After obtaining the licence, Alipay and Tenpay, the two third-party payment enterprises with their own e-commerce trading platform, will naturally increase the legalization of overseas markets through their own E-commerce platform, and the renminbi's internationalization settlement platform in the third party platform is not only a fantasy!

Others get a licence, relatively independent, no E-commerce trading platform for third-party payment companies still have a wide range of space, these are also from China's largest consumer mall-the Beijing-East cancellation and Alipay's cooperative relationship can be seen, the docking of these independent third-party payment platform so that domestic business can save more fees, and transaction data and customer information are more secure. Coupled with the rapid growth of domestic trade-type consumers attracts a growing number of foreign brands and manufacturers wanting to move into these malls to sell their goods to Chinese consumers more quickly and easily, based on the convenience and efficiency of third-party payments, China's powerful consumer retailer City will be most likely to require these foreign manufacturers directly through the Third-party payment platform to complete the settlement and exchange payment, the process is bound to accelerate the internationalization of the renminbi process.

In addition to an independent third party payment enterprise, these large domestic business operators and enter the traditional E-commerce retail industry also saw the opportunity to pay the third party, Suning easy to buy at the beginning of the establishment of the direct use of their own development of third-party payment platform-Yi Bao, and the Hundred-Lian Mall is more than the cost of billions to build "An Bao." All this means that third party payments have more scope for imagination and development.

In addition, the future of foreign trade-oriented business seems to be more limitless, as Chinese manufacturing, we have no longer want to be at the lowest end of the industrial chain to earn the so-called hard-earned money, but through the original retail system to expand the internationalization of retail operations, it is obvious that the cost is too high and difficult. After decades of reform and opening up, China has gradually become the world's largest OEM, ODM base, a good foundation in the mode of foreign trade to make China more manufacturers and brands have a lower cost, more difficult to face the global consumer opportunities. The direct selling mode of foreign trade merchants will gradually eliminate the links of foreign agents and retailers, and more fully embody China's manufacturing cost advantages, and make the global consumers benefit. In such a process, third party payments will naturally become the intermediary platform for consumers of various countries to carry out currency exchange.

The future internationalization of the Taobao platform makes Alipay an international settlement platform more likely, and the role of domestic companies in promoting the sales of foreign manufacturers and brands in China makes their own third-party payment tools and independent Third-party payment platforms have this opportunity, And the development of foreign trade business makes foreign consumers in the third party payment platform to generate international currency settlement demand, these three types of e-commerce enterprises to obtain third-party payment licences of the company naturally become international currency exchange and settlement platform. In addition to the legalization of third-party payment companies after the development of the platform, so that the fund purchase, stock trading, business database marketing support is easier to expand to the global scope, in such a trend to form a new and different from the United States government's century-built financial system is infinitely magnified.

Let's think and review why the dollar becomes the international settlement currency? Regardless of political and military factors, purely economic analysis of the U.S. after the Second World War strong domestic demand caused by the current U.S. market is still a major global competition for the consumer market, in such a context of the United States dollar as the international settlement currency, Therefore, the Chinese Government continues to use the financial crisis to promote domestic demand-type development as a part of the international strategy, in fact, also become an important strategy to promote the international settlement of the renminbi, and in these important international strategies, the Third-party payment will shoulder the responsibility of the internationalization of the renminbi.