This edition of Global Financial Tech Weekly curates key developments in fintech and cross-border payments, offering concise yet comprehensive insights into regulatory updates, market trends, and technological innovations shaping the industry.
Central Bank & Regulatory Updates
PBOC Expands Multinational Cross-Border Capital Pool Pilot
The People’s Bank of China (PBOC) and State Administration of Foreign Exchange (SAFE) have optimized pilot policies for multinational companies’ integrated domestic-foreign currency capital pools across 10 regions, including Shanghai, Beijing, and Guangdong. This facilitates centralized fund management for global enterprises operating in China.
- Key Impact: Streamlines FX operations for multinationals, reducing administrative hurdles.
RMB Internationalization Gains Momentum
In November 2024, RMB cross-border settlements hit ¥1.4 trillion ($196B), with trade in goods accounting for ¥1.11 trillion. Swift data shows RMB reclaiming its position as the 4th most active global payment currency (3.89% share), highlighting its growing role in trade and investment.
Cross-Border Payment Innovations
China’s ZTO Pay Processes First International Logistics Transaction
ZTO Pay, the payment arm of logistics giant ZTO Express, completed its maiden cross-border payment for Shenzhen Dayu International Logistics, marking a milestone in its global payment solutions for the logistics sector.
👉 Explore seamless cross-border payment solutions
Tenpay Global Partners with Ria Money Transfer
Tencent’s Tenpay Global now enables Ria Money Transfer users to send remittances directly to WeChat Pay wallets or linked bank accounts, bridging gaps for global workers supporting families in China.
UnionPay Expands QR Interoperability with Laos
UnionPay International and Laos’ LAPNet achieved QR code network integration, allowing users of UnionPay wallets (including Cloud QuickPass) to scan-to-pay at Laotian merchants.
Regulatory & Compliance Alerts
First USDT-Fiat Exchange Case Conviction in China
Three individuals were sentenced for illegal FX operations using USDT-to-RMB exchanges, processing ¥30 million across 650+ transactions. The case underscores China’s strict stance on unlicensed currency conversions.
Australia Cracks Down on Crypto ATMs for Money Laundering
AUSTRAC launched a crypto taskforce targeting unlicensed ATM operators, citing rising scams and frauds linked to digital assets.
Global Market Highlights
| Region | Development |
|---|---|
| UK | Payment Systems Regulator proposes caps on Visa/Mastercard cross-border fees for EU-UK transactions. |
| Indonesia | Testing NFC-based QRIS Tap for public transport; slated for Q1 2025 rollout. |
| UAE | Paxos partners with Standard Chartered to enhance stablecoin reserves in Singapore/UAE. |
2024 Cross-Bayment Trends Recap
- Web2-Web3 Convergence – Hybrid payment models gain traction.
- AI-Driven Fraud Detection – Machine learning reshapes compliance.
- Instant Payment Networks – FedNow, UPI, and others expand globally.
- BNPL Expansion – Affirm secures $4B to fuel loan growth.
👉 Stay ahead with top-tier payment solutions
FAQ
Q: How does RMB’s rising global share impact businesses?
A: More trade partners accept RMB, reducing FX costs and hedging needs for China-linked transactions.
Q: What risks do crypto-based FX operations pose?
A: Unlicensed platforms face legal action; users risk fund freezes due to compliance breaches.
Q: Why is QRIS Tap significant for Indonesia?
A: It modernizes transport payments, aligning with Southeast Asia’s digital payment surge.
Note: This report excludes promotional content and adheres to regulatory guidelines.