How Will Ant Financial, China’s Fintech Giant, Be Impacted By New Regulations?
“Having a large and diversified business may be great for the bottom line, but it has increased Ant Financial’s vulnerability to potential regulation. Ant Financial is very important to many Chinese consumers, and it may be considered too big to fail. Some consumers use Ant Financial’s Alipay service, invest in Yu’e Bao, and obtain consumer loans from Ant Credit. In this case, regulation can prevent the company from requiring a government bailout if and when financial fragility sets in.”