Screw CNN, but it is an interesting decision from the CCP
theres been something interesting going on with the CCP and financial businesses lately. theyre going to subvert alipay with the digital yuan and theyve already nationalized many financial tycoon's businesses. i figure xi is putting them on the chopping block first because they truly are useless and having redundancies here does nothing but hurt everyone
"What we need is to build a healthy financial system, not systematic financial risks," the Ant Group co-founder said at a conference in Shanghai. "To innovate without risks is to kill innovation. There's no innovation without risks in the world."
On Monday, Chinese regulators summoned Ma and other Ant executives to conduct what authorities called "regulatory interviews." Ant Group said that the two sides exchanged "views regarding the health and stability of the financial sector."
so, chinese billionaire complains about regulations, proceeds to get the iron fist shoved up his ass
theres been something interesting going on with the CCP and financial businesses lately. theyre going to subvert alipay with the digital yuan and theyve already nationalized many financial tycoon’s businesses. i figure xi is putting them on the chopping block first because they truly are useless and having redundancies here does nothing but hurt everyone
Think about it this way -- what does having a 100% digital currency do? It gives you complete and total 100% transparency of the transactions within your economy.
This gives you the potential, for the first time in history, to have a command economy with knowledge of 100% of the economic activity occurring within your entire economy.
This is unprecedented and I believe they are currently nationalising and centralising all financial businesses for exactly this purpose. They see what incredible potential this level of access has and it completely throws out the window ALL the problems of previous command economies not having complete knowledge of "unknown" factors.
You don't need any private financial businesses anymore. You can take complete command of massive quantities of your entire economy in fact. Throw AI research into the mixture and there's an unprecedented economic frontier that they're about to explore.
So this article is heavy on the western editorialising, Chinese governments perspective is more along the lines that Ant was categorized as a Tech company trying to evade regulations on financial institutions, and China isn't interested in a billionaire blowing up their long term growth targets and economic stability with a giant debt bubble. Hence the need to halt the IPO and ensure proper regulation of this venture.
https://www.globaltimes.cn/content/1205623.shtml
https://www.chinabankingnews.com/2020/11/05/ant-groups-ipo-scuppered-by-chinas-launch-of-new-online-micro-loan-rules-will-face-major-re-valuation-as-a-consequence-analysts/
I thought that despite its western framing of the issue, it was not China fearmongering as much as I expected.
It at least explained that it might actually be a regulatory issue that needs to be solved. And that they suggested that fintech was evolving faster than regulations, which, in a responsible government would mean that it should be slowed to regulation can catch up.
