What does it mean for China s central bank to solicit comments on regulations for non bank payment i

This means that the mobile payment business carried out by these Internet companies may face stricter regulations. Recently, the central bank issued a draft of the regulations on non-bank payment institutions, which caused a lot of shock. Some people said that the regulation is aimed at Internet giants and is expected to completely reshuffle the current mobile payment field.

Relevant people in the banking industry said that the regulations are mainly to strengthen the supervision of the financial industry, avoid the accumulation of financial risks, and also to promote the better development of enterprises in the non-bank payment industry, which also has a far-reaching impact on the mobile payment market. In the regulations, a very important point is to classify and manage the stored value account operation business and payment transaction processing business in the field of mobile payment to avoid being monopolized by enterprises.

A person in the mobile payment industry said that the clause may change the current mobile payment model, which will have a significant impact on the two largest payment platforms. At present, these Internet companies do all the business of prepaid cards and bank card acquiring, but after the promulgation of the regulations, in the future, Internet companies may have to choose between the stored value account business and the payment industry to do it, instead of dealing with it as before. An analyst in the financial industry said that the new policy may have a significant impact on the licensing of existing Internet financial companies.

In the future, the value of mobile payment licenses will also be re-evaluated. The new policy will also effectively limit the scale of the stored value account business, and institutions will have to evaluate their own net assets if they want to carry out this business in the future, which will effectively break the existing monopoly pattern.

A professional in the financial industry said that this will be a warning for the existing mobile payment companies with a monopoly position. In fact, last year, the chairman of the China Banking and Insurance Regulatory Commission publicly stated that some Internet companies occupy some leading positions in the payment field, and these companies have been involved in financial security issues. Therefore, it is not surprising that the central bank will introduce regulatory regulations.

In fact, since last year, the state has begun to emphasize anti-monopoly to avoid damage to the interests of consumers by some giant companies.

At present, domestic non-bank financial institutions have obtained more than 200 payment licenses, and many small and medium-sized enterprises have also applied for relevant mobile payment licenses, but they have not been used, and the market has been experiencing various license transfer events, but at present, after the new policy comes out, the management of the license and the value of the license will face a large adjustment. Therefore, in the future, the field of mobile payment may usher in greater changes, and strong supervision will also become an important topic of Internet finance in the future.

The People's Bank of China solicited opinions on the regulations on non-bank payment institutions, which means that the law is more people-friendly, which means that the voice of the people will be heard more, and it also means that non-bank payment institutions will be further managed.

This means that the central bank will strengthen the control of the current Internet payment institutions, in fact, I think about it, the Internet payment demons have been dancing for a while, and the big brother needs to behave in the rules.

This means that it is becoming more and more difficult for non-bank payment institutions to do business. I think it's important to clean up these institutions.

I think this means that the National Bank is starting to manage the non-bank payment institutions. It is possible that the national bank is learning from other institutions, because Alipay is indeed much easier to pay than the bank sometimes.

YesCentral banksA notice was issued on January 20Soliciting public comments on the Regulations on Non-bank Payment Institutions (Draft for Comments).

The notice stated that in order to strengthen the supervision and management of non-bank payment institutions, regulate the behavior of non-bank payment institutions, prevent payment risks, protect the legitimate rights and interests of parties, and promote the healthy development of the payment service market, the People's Bank of China, together with relevant departments, has studied and drafted the Regulations on Non-bank Payment Institutions (Draft for Comments), which is now open to the public for comments.

The first is to adhere to the concept of functional supervision. Emphasizing that the same business follows the same rules and avoids regulatory arbitrage and regulatory gaps. The second is to adhere to the combination of institutional supervision and business supervision.

In accordance with the principle of "license before license", the payment institutions shall be subject to institutional supervision, and at the same time, the business operations and related party transactions of the payment institutions shall be subject to all-round supervision. The third is to adhere to penetrating supervision. Strengthen the supervision of the access and change of shareholders, actual controllers and ultimate beneficiaries.

This is done to protect the security of the payment network environment, and at the same time to ensure the legitimate rights and interests of consumers.

The purpose is to regulate those non-bank payment methods, make them more reasonable and legal, and protect the rights and interests of consumer payers. For example, Alipay, WeChat payment, etc., because there are many online frauds now, I think this regulation is very good.

First of all, what is the Non-Bank Payment Institutions Regulation?

On January 20, the official website of the People's Bank of China (PBOC) announced the Regulations on Non-bank Payment Institutions (Draft for Comments). The Regulations have six chapters and 75 articles, which strengthen the requirements of corporate governance and implement all-round and whole-process supervision; The first anti-monopoly regulatory measures in the field of payment are proposed, clearly defining the scope of the relevant market and the criteria for determining market dominance; It will also increase the penalties for licensed institutions for providing payment business channels for institutions operating payment business without a license.

In the drafting note, the People's Bank of China stated that the Regulations follow the core regulatory principles of fair competition, substance over form, and inclusive finance, and determine the new classification of payment business according to the substance of the business. That is, according to the two dimensions of funds and information, according to whether an account is opened (providing prepaid value) and whether it has the characteristics of a depository institution, the payment business is reclassified into two categories: stored value account operation business and payment transaction processing business, so as to meet the needs of technology and business innovation and effectively prevent regulatory arbitrage and regulatory gaps.

First of all, in view of the capital strength requirements, the "Regulations" clarify the entry threshold: the minimum registered capital of non-bank payment institutions is 100 million yuan.

Secondly, the Regulations clarify the access conditions and prohibited behaviors for shareholders of non-bank payment institutions, requiring that the same legal person shall not hold more than 10% of the equity of two or more non-bank payment institutions, and the same actual controller shall not control two or more non-bank payment institutions, which will help prevent the disorderly expansion of capital in the payment service market.

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First, the Regulations make requirements for "information collection, use and processing", for example, when non-bank payment institutions and their affiliates share user information, they shall ensure compliance with laws and regulations, control risks, and obtain the express consent of users to prevent improper use of user information.

Second, the Regulations also mention the requirement of information localization, and if a non-bank payment institution is identified as a critical information infrastructure, the storage, processing and analysis of user information collected and generated by it within the territory of China shall be carried out within the territory. Where non-bank payment institutions provide domestic user information overseas, they shall comply with laws, administrative regulations, departmental rules, and the provisions of the People's Bank of China, and obtain the express consent of users.

Third, it is clarified that the cross-institutional payment business initiated by the payment institution shall be handled through a clearing institution with corresponding legal qualifications to ensure the security and transparency of funds and information.

Fourth, it strengthens the requirements for the management of reserves, emphasizing that reserves do not belong to the payment institutions' own property, requiring payment institutions to deposit reserves with the People's Bank of China or commercial banks that meet the requirements, and clarifying the supporting prudential supervision measures to fully protect the rights and interests of users.

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The Regulations stipulate that if the cumulative loss of a payment institution exceeds 50% of its registered capital; or has not substantially carried out part or all of the payment business since the date of obtaining the license, or has stopped part or all of the payment business for more than 2 consecutive years; The classification rating result is the lowest grade for 2 consecutive years; or there may be circumstances that have a greater adverse impact on the stable operation of the payment service market. The PBOC may, in accordance with the principle of prudential supervision, suspend some or all of its payment operations up to the revocation of its payment business license.

There are mainly some contents worthy of our attention: first, the "Regulations" make requirements for "information collection, use and processing", second, the "Regulations" also mention information localization requirements, and third, it is clear that the cross-institutional payment business initiated by payment institutions should be handled through clearing institutions with corresponding legal qualifications to ensure the security and transparency of funds and information. Fourth, strengthen the requirements for the management of reserves.

Specifically, the draft regulations have the following key contents:

1. The distinction between the types of payment services (Article 2) is revised, reflecting the technical integration of terminals and networks, as well as the integration of online and offline businesses. According to the original practice of license issuance, the scope of the "Payment Business License" issued in the future may be to use these two types of business as the permitted items, instead of the previous eight sub-categories (excluding currency exchange) as the permitted items.

2. The requirements for registered capital have been raised: the minimum paid-in capital requirement has been adjusted from the original national business of 100 million yuan and a single region of 30 million yuan to 100 million yuan.

3. Pay attention to the review of the qualifications of shareholders, actual controllers, and ultimate beneficiaries.

4. Changes in the establishment and approval process of payment institutions.

The main issues that need to be paid attention to in the regulations on non-bank payment institutions are qualifications, data security and monopoly, which also express the central bank's promotion of the standardization of online payments.

It is worth noting that the regulations have stricter control over payment institutions, higher requirements for enterprises that can apply for payment qualifications, and more relevant measures to disrupt the market.

On the evening of the 20th, the central bank's "Regulations on Non-bank Payment Institutions (Draft for Comments)" triggered a huge shock in the payment industry. Industry insiders believe that the document will trigger a reshuffle of the current payment industryExisting payment giants such as Alipay and WeChat Pay (Tenpay) may bear the brunt of the impact, and Kuaishou and Douyin, which have just obtained payment licenses, will also be affected.

Analysts believe that the promulgation of the "Regulations" is an important part of "improving the financial regulatory system and keeping the bottom line of no systemic financial risks", marking that China's non-bank payment supervision in the era of digital economy has entered the stage of deepening implementation, and bringing positive significance to promoting the healthy and sustainable development of the non-bank payment industry. At the same time, the unprecedented anti-monopoly policy on payments will have a profound impact on the entire market.

Article 1: These Measures are formulated in accordance with the "Law of the People's Republic of China on the People's Bank of China", the "Measures for the Administration of Payment Services of Non-Financial Institutions", and other provisions, so as to regulate the online payment business of non-bank payment institutions (hereinafter referred to as payment institutions), prevent payment risks, and protect the lawful rights and interests of parties.

Article 2: These Measures apply to payment institutions engaging in online payment operations.

The term "payment institution" as used in these Measures refers to non-bank institutions that have obtained the "Payment Business License" in accordance with law and are allowed to handle online payment business such as Internet payment, mobile payment, fixed payment, and digital TV payment.

The term "online payment business" as used in these Measures refers to the activities in which the customer remotely initiates payment instructions through computers, mobile terminals and other electronic devices, relying on the public network information system, and the electronic equipment of the paying customer does not interact with the specific exclusive equipment of the receiving customer, and the payment institution provides monetary fund transfer services for the receiving and paying customer.

For the purposes of these Measures, the term "specific exclusive equipment for collection customers" refers to electronic equipment that is specially used for transaction collection, interacts with the business system of payment institutions in the course of transactions, and participates in the generation, transmission, and processing of payment instructions.

Article 3: Payment institutions shall follow the principle of primarily serving e-commerce transactions, and provide online payment services based on customers' bank accounts or in accordance with the provisions of these Measures for opening payment accounts for customers.

The term "payment account" as used in these Measures refers to the electronic bookkeeping opened by a payment institution that has obtained a license for Internet payment business according to the true wishes of its customers, and is used to record the balance of prepaid transaction funds, initiate payment instructions, and reflect the detailed information of payment transactions.

Article 4: Payment institutions shall safeguard the lawful rights and interests of the parties in accordance with law, and ensure the security of customer information and funds.

Article 5: Payment institutions carrying out online payment operations shall implement the real-name management requirements, comply with relevant provisions on anti-money laundering and counter-terrorist financing, and perform anti-money laundering and counter-terrorist financing obligations; Where cross-border RMB settlement and foreign exchange payment business are involved, the relevant provisions of the People's Bank of China and the State Administration of Foreign Exchange shall be followed.