Regulatory Landscape

Alipay earns around 0.1% per transaction which is less than what banks earn on debit-card swipes.

• Ant's third and fourth revenue stream is its asset management and insurance business.
• Third Leg (Asset Management): Merchants or shoppers with cash in Alipay could get small return by parking it in a money market fund. Later Ant broadened its offerings turning it into China's most po...

• Alipay began consumer lending in 2014. Soon it captured 15% share of China's consumer lending market.
• Initially, it made the loans and then packaged them as securities, sold to other financial institutions. Regulators imposed restriction on the securitization.
• Later, Alipay c...

• The company started as a trusted payment option for shoppers and merchants of Alibaba. It worked as an escrow account, transferring money to sellers after buyers had received their products.
• Later Alipay app was launched, introduced QR code for payments.

• Because of Alipay's sheer volume in payment business, it found advantage of key resource "DATA" to drive its other businesses.
• Alipay app started as mere payment app but expanded its branches to different segments namely credit, asset...