BEIJING: Beijing-based ByteDance launched on Tuesday its third-party fee service for the Chinese language model of its hit quick video app TikTok, “Douyin Pay”, because it presses to increase into the e-commerce enterprise in China.
“The set-up of Douyin Pay is to complement the present main fee choices, and to finally improve person expertise on Douyin,” Douyin mentioned in a press release.
Customers of Douyin, which gathered 600 million day by day lively customers, beforehand might use Ant Group’s Alipay and Tencent Holdings’ WeChat Pay, the nation’s two ubiquitous third-party cellular fee channels, to purchase digital items for livestreamers or gadgets from retailers on the platform.
ByteDance founder and CEO Zhang Yiming constructed up the corporate’s fee functionality in China by buying Wuhan Hezhong Yibao Know-how Co final yr. Hezhong Yibao obtained a third-party fee license from the central financial institution in 2014.
ByteDance has been ordered by the outgoing Trump administration to divest TikTok’s U.S. property on nationwide safety considerations.
The corporate, which denies the allegation, has been in talks for months with Walmart Inc and Oracle Corp to shift such property into a brand new entity.
Douyin is the principle income generator for ByteDance. It supplies a glimpse of what TikTok might finally turn into, as Douyin began promoting merchandise in 2017 and now operates a rising e-commerce operation the place a whole lot of thousands and thousands of customers store every day.
ByteDance’s growth comes as China’s monetary regulators are tightening oversight over monetary expertise companies, significantly firms reminiscent of Ant Group.
China’s third-party fee sector is dominated by Alipay and WeChat Pay, with the previous taking 55.39% of the full market within the second quarter of final yr, in line with market researcher Analysys. Different gamers embody JD.com’s JD Pay, Baidu Pockets and Meituan Pay.