WeChat Closes its Crypto Payment Method, Set to Ban Merchant Account Dealing With Crypto


WeChat Closes its Crypto Payment Method, Set to Terminate Merchant Account Dealing With Crypto

WeChat Closes its Crypto Payment Method, Set to Ban Merchant Account Dealing With Crypto

China’s ban on cryptocurrency certainly affects its largest social media platform with a huge user base. Recently updated privacy policy of WeChat indicates that merchant accounts which found dealing in cryptocurrency transactions will be terminated soon.

WeChat To Ban Accounts Dealing with Crytpo Trading

The update was first served on Twitter by Dovey Wan, a crypto influencer. She tweeted the translated message of WeChat privacy policy updated page, which explains ‘merchant can’t serve any token issuance/fundraising or crypto trading activities’.

Dovey-Wan
Source: Twitter

Besides social media, WeChat is a Chinese multi-purpose messaging and mobile payment app developed by Tencent. Following the update, those who continue proceeding crypto trading activities will see their account terminated – this rule will come into effect at the end of the month, on May 31.

Also Read: Alipay Distances itself from Cryptocurrency as China’s Clampdown Intensifies Further

The platform earlier in August 2018 reported that WeChat and one more payment platform Alipay are working with govt agencies to closely monitor crypto trading/other activities in the country. Nevertheless, parent company, Tencent then issued a new report of its three key measures to effectively monitor crypto activities –

  • Prohibit users from using Wechat payment to make crypto transactions
  • Real-time monitoring of daily transactions
  • Risk assessment of any suspicious transactions

Nevertheless, the updated policy is likely a result of this measure which hinders merchants and users to deal with crypto transactions within the country. The update got the attention of CZ, CEO of the largest bitcoin exchange Binance who commented on Dovey Wan’s update, stating that ‘crypto is not a bad thing’. In his continuous tweet, he quoted his 2018’s tweet that hints ‘WeChat may probably reverse its decision’.

In his quoted tweet, he added

CZ on WeChat
Source: Twitter

Nevertheless, concerning the stern crypto regulations in China, CZ talks ‘its probably not their own (WeChat) choice’.

Honestly, it would be hard to beat WeChat pay if they are relatively open. (The UX is good). But more and more restrictions are forced upon them (probably not their own choice). Go #crypto!

Do you think Chinese stubborn regulations prevent the country’s innovation and forced platforms like WeChat to leverage the emerging payments like cryptocurrency and tech like blockchain? Share your thoughts with us.

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WeChat Closes its Crypto Payment Method, Set to Ban Merchant Account Dealing With Crypto
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WeChat Closes its Crypto Payment Method, Set to Ban Merchant Account Dealing With Crypto
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China’s ban on cryptocurrency certainly affects its largest social media platform with a huge user base. Recently updated privacy policy of WeChat indicates that merchant accounts which found dealing in cryptocurrency transactions will be terminated soon.
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Author: Tabassum

Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com

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Tabassum is a full-time content writer at Coingape. Her passion lies in writing and delivering apt information to users. Currently, she does not hold any form of cryptocurrencies. Follow her on Twitter at @Tabassumnaiz and reach out to her at Tabassum[at]coingape.com

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