Now that there is a license, does it mean that this convenient and cheap cash withdrawal method for cross-border sellers may reappear in front of everyone? Even like the US version of PayPal, cancel the $35 cash withdrawal fee and replace it with a free way to withdraw RMB to your domestic bank? Well, just think about this kind of thing. At least PayPal that I know does not have the courage of Alibaba. Maintaining profit and market share growth is the fundamental task of PayPal. Of course, profit comes first and market comes later.
Don't forget, Taobao used free methods to seize the domestic market and defeated eBay, which put profit first. Will PayPal's hard-earned license go the way of eBay? The key point is still localization. As the first foreign-funded company to obtain a Chinese payment license, PayPal has become an industry benchmark. As mobile number list China further expands the opportunities brought by the opening of the financial service market to the outside world, more and more foreign payment companies will line up to enter China, such as Payoneer, Stripe, TransferWise, 2Checkout and so on. The entry of foreign payment companies is payment industry, and the competition will intensify. But as for the extent of the impact, it depends on whether these foreign payment companies can integrate into the.
Chinese local market and provide some more down-to-earth products and services. Of course, this may be a relatively long process. This reminds me of Payoneer, which is also a foreign-funded cross-border payment company. Before PayPal obtained the license, Payoneer put the application for China's cross-border RMB payment license on the agenda. Of course, there is no successful precedent for applying directly as a foreign-funded company. Perhaps Payoneer will also refer to PayPal to acquire a domestic company with a license to achieve its goal. How it turns out, time will tell us the answer.