More than a dozen major technology firms in China are set to face similar restrictions imposed on Jack Ma’s Ant Group as Beijing widens its fintech crackdown.
13 tech titans – including Tencent, ByteDance, JD.com, Meituan and Didi Chuxing – were summoned to a meeting over a series of new requirements for their financial units, according to a joint statement by Chinese regulators.
State representatives at the meeting included the central bank, the banking and insurance regulator, the securities regulator and the foreign exchange watchdog.
Regulatory Rectifications
The 13 tech firms will face similar requirements previously imposed on Jack Ma’s Ant Group including the restructuring of financial units into holding companies for regulatory supervision.
Restrictions will be tightened in numerous areas such as payment links to financial products, collection of customer data, credit scoring services and overseas listings.
The latest regulatory push against the broader fintech sector follows the headline crackdown against Ant Group with the latest move being a probe against its IPO backers and considerations for the divestment of Ma’s stake.
