Most recently, Singapore's Fintech News online newspaper cited the latest information about the Alibaba Group's affiliated financial company, headquartered in Hangzhou, China, officially running a test support project developing Web3.
How does this information affect the development of the blockchain technology industry in this country of billions of people? Let's learn more with FinFan.
Along with Tecent, Alibaba is a leading financial group in China as they own the two largest payment wallet providers in this country of billions of people, Wechat Pay and Alipay.
The level of competition between these two wallets in the market is very fierce and with the development of technology today, which business can grasp technology trends and be able to develop related products and services? They will have an advantage in the fierce competition above.
And while Tencent is focusing its efforts on other areas such as AI and gaming, Alibaba is determined to conquer and become the hegemon in the payment sector, when recently, this group's subsidiary, Ant Group, started... started running a Web 3 project called ZAN to update payment trends through its blockchain.
“For institutional customers, ZAN offers a solution to help them issue and manage real world assets (RWAs) in compliance with local regulatory requirements. ZAN’s RWA solution can help efficiently bring new assets to the Web3 world, enabling more Web3 applications and use cases.
ZAN also provides a series of technical products, including electronic Know-Your-Customer (eKYC), Anti-Money Laundering (AML) and Know-Your-Transactions (KYT), to help Web3 businesses build up their capabilities in customer identity authentication, security protection and risk management.
ZAN began piloting its technical services early this year with HashKey Group, Morpheus Labs and Everest Ventures Group being among its first batch of partners.”
Based on that information, it can be seen that Zan has prepared very carefully for this launch as it fully integrates the utilities that an organization or individual wants when making payments via blockchain.
It can be said that by carefully preparing for the launch of this project, Ant Group in particular and Alibaba in general have clearly shown their ambitions in promoting online payment.
The comparison between Alipay and Wechat Pay may now be about to get even more intense as this starting shot from Ant Group will alert Tencent's bosses and make them more concerned about this issue.
From there, the battle in the Chinese financial world will become fiercer than ever as both giants in the industry participate in the blockchain pie.
However, until now, Alibaba has been 1 step ahead of Tencent. This helps them have more advantages in attracting potential blockchain customers and quickly leading the market share.
The next step for this company will probably be to integrate some payment methods such as China's CBDC into the payment system or use some stablecoins available on the market such as USDT and USD. It is BTC as the number of people holding this currency in China is the largest among all remaining cryptocurrencies.
This giant will increasingly assert its position in China's electronic payment market and in the future, it is impossible not to mention its ambition to monopolize the market when Tencent has not made any moves to improve Wechat Pay or other channels of payment.
In short, this move by Ant Group clearly demonstrates its ambition to dominate China's electronic payment industry in the near future.
Currently, Alipay is still inferior to Wechat Pay in terms of C2C money transfer when Tencent currently holds China's largest messaging social network, Wechat.
However, being a leader in blockchain technology will help Alipay gain more advantages and gradually gain market share in this C2C segment with more than 1 billion customers.