Caixin reported (December 21) that China’s biggest fintech companies removed savings products linked to regional banks from their online platforms amid heightened scrutiny from regulators concerned that the funds are being raised by unstable smaller lenders and could fuel financial risks. The financial services arms of tech giants Tencent Holdings Ltd., JD.com Inc., Baidu Inc., Didi Chuxing Technology Co. Ltd., Meituan, Xiaomi Corp., and Lufax Holding Ltd., which is backed by financial conglomerate Ping An Insurance (Group) Co. of China Ltd., have stopped offering products that allow consumers who use their online platforms to make deposits with brick-and-mortar lenders. The news follows confirmation on December 18, by Ant Group Co. Ltd., which is China's dominant online fintech platform that it had halted the service on its Alipay mobile payment app in accordance with regulatory requirements.
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