Next month will usher in the “big test” for the renewal of payment license, but some Payment institutions have chosen to “withdraw from the test”.
Recently, the central bank updated the cancellation list of payment licenses. The information shows that the third-party payment institution Shanghai Shanghai Xinhua Media Co.Ltd(600825) e-commerce Co., Ltd. (hereinafter referred to as Xinhua e-commerce) has taken the initiative to cancel the payment license.
According to incomplete statistics of Securities Daily, as of May 22, four Payment institutions had voluntarily cancelled their licenses during the year. The business types were prepaid card issuance and acceptance, and the business scope was a single province and city. In other words, the renewal period of the payment license has not yet arrived, and existing institutions have chosen to “leave” on their own initiative.
business types are prepaid card issuance and acceptance
Specifically, the business type of payment license held by Xinhua e-commerce is prepaid card issuance and acceptance, and the business coverage is Shanghai. The license is valid until June 26, 2022. It should be noted that Xinhua e-commerce takes the initiative to cancel the license.
Tianyancha shows that Xinhua e-commerce was established in 2008 with a registered capital of 100 million yuan. It is an enterprise focusing on the issuance and acceptance of prepaid cards. It obtained the payment business license issued by the people’s Bank of China on June 27, 2012, and its legal representative is Zhu Wei.
The reporter noted that from the cancellation date, Xinhua e-commerce is the fourth organization to voluntarily cancel the payment license this year. Previously, three Payment institutions have taken the initiative to cancel their licenses, namely, Shaanxi post West mail electronic payment Co., Ltd. (hereinafter referred to as West mail electronic payment), Beijing Fanxing Valley Information Technology Co., Ltd. (hereinafter referred to as Fanxing Valley) and Fujian Yintong Business Service Co., Ltd. (hereinafter referred to as Fujian Yintong business). Among them, the payment license of Fanxing valley was voluntarily cancelled on January 26, 2022, and the business was undertaken by Ruixiang business services Co., Ltd.
In terms of business types, the above four institutions are all qualified for issuing and accepting prepaid cards in a single province or city. The business coverage of Xinhua e-commerce is Shanghai, the e-payment business coverage of West mail is Shaanxi Province, the business coverage of Fanxing Valley is Beijing, and the business coverage of Fujian Yintong is Fujian Province.
In addition, from the perspective of the validity period of the payment license, the licenses of Xinhua e-commerce and West mail e-payment are valid until June 26, 2022, and the business licenses of Fanxing Valley and Fujian Yintong are valid until July 5, 2023. In other words, the four Payment institutions chose to cancel the “departure” voluntarily before the renewal of their licenses.
Wang Pengbo, a senior analyst in the financial industry of Broadcom consulting, told the Securities Daily that the survival of the fittest of prepaid card payment institutions is accelerating. In fact, prepaid card business can better play an auxiliary and synergistic role under institutions with rich scenes. From the perspective of the industry, among the institutions that suspend the renewal or actively cancel their licenses, there are many Payment institutions with the business type of issuing and accepting prepaid cards in a single province and city. The main reason is that the rise of mobile payment has greatly changed the original business model and business logic of such institutions. If the transformation is not successful, it is a good choice to take the initiative to quit.
payment license further “downsizing”
According to the official website of the central bank, as of May 22, the number of cancelled payment licenses in China had increased to 51, leaving only 220 in stock.
Throughout the 51 cancelled payment licenses, the business type and coverage of most licenses are local prepaid card issuance and acceptance qualifications. For example, in 2021, a total of 9 Payment licenses are cancelled, and the business type and coverage of these 9 Payment licenses are displayed as the issuance and acceptance of prepaid cards in a single province.
Su Xiaorui, senior analyst of Analysys financial industry, told Securities Daily that from the perspective of the industry, the prepaid card business is in the process of digital transformation, and the original offline prepaid card business model is facing challenges in the context of the vigorous development of the digital economy; On the other hand, some prepaid card institutions only have business qualifications in some regions, and their exhibition scope is limited. If they fail to seek a suitable transformation route in time, they are easy to face development dilemma.
Su Xiaorui predicted, “In the future, more institutions will choose to take the initiative to cancel the prepaid card business license, but from the perspective of the industry, there are still large market demand and business opportunities for prepaid business. In fact, some institutions are actively seeking changes. For example, using new technologies to explore the combination of programmable and traceable features with smart contracts and implement them into prepaid business, making the prospect of digital transformation of prepaid business more possible.”
\u3000\u3000 “Both the continuous’ downsizing ‘of payment licenses and the disclosed large fines of Payment institutions show that the payment industry is still in a state of strict supervision. On the one hand, supervision maintains a high pressure on violations of laws and regulations and continuously increases the cost of violations, which is conducive to the healthy development of the payment industry. On the other hand, Payment institutions should also actively join the digital wave while strengthening compliance governance Seek opportunities in the era of diversified economy and seek development in positive response. ” Wang Pengbo said.
