In what can only be described as a virtual slap in the face, the Chinese mobile payment platform, Alipay, strongly rebuked bitcoin exchange giant Binance for attempting to implement Alipay as a fiat on-ramp.
New payment options for peer-to-peer (P2P) crypto trading on Binance’s mobile app came to fruition yesterday, as exchange boss Changpeng “CZ” Zhao emphatically unveiled the news on Twitter.
The new function allows for mobile users to engage in P2P trading of cryptocurrencies such as bitcoin, ethereum, and tether, against the Chinese yuan.
Much to the elation of investors, it was reported that major Chinese payment processors Alipay and WeChat Pay would be used as fiat on-ramps. However, this seemingly got lost in translation, with some believing there to be a partnership with the major firms.
CZ later clarified this, noting:
“Some confusion by some news outlets. @Binance is not working directly with WeChat or Alipay. However, users are able to use them in P2P transactions for payment.”
Nevertheless, despite the explanation, Alipay still took offense, directly rebuking CZ on Twitter.
Within the retort, Alipay’s official Twitter account linked to a thread reasserting their stringent position on cryptocurrency trading. The company said that any and all crypto transactions would be stopped.
“There’re several reports about @Alipay being used for bitcoin transactions. To reiterate, Alipay closely monitors over-the-counter transactions to identify irregular behavior and ensure compliance with relevant regulations.”
The company continued to relay that any and all crypto transactions via Alipay would be halted.
“If any transactions are identified as being related to bitcoin or other virtual currencies, @Alipay immediately stops the relevant payment services.“
It wasn’t too long until WeChat caught wind of the uproar, reaffirming their own stubborn stance on cryptocurrencies. Crypto venture capitalist Dovey Wan took a snapshot of the WeChat announcement, translating it to reveal its seemingly tyrannical nature:
However, none of this should come as a shock.
Last year, Alipay banned all over the counter (OTC) trading accounts affiliated with cryptocurrencies, and it seems this vendetta is set to continue.
This article was edited by Josiah Wilmoth for CCN.com. If you see a breach of our Code of Ethics or Rights and Duties of the Editor, or find a factual, spelling, or grammar error, please contact us and we will look at it as soon as possible.
Last modified: June 14, 2020 11:19 AM UTC