Sunrate secures license to operate in China

Sunrate, a Singapore-based payment and treasury management platform, has secured a payment business license in China after acquiring a full stake in Transfar Pay, a unit of Shenzhen-listed Transfar Group, for 315 million yuan (around US$43.9 million).

The deal received approval from Chinese regulators and was previously disclosed by Transfar Group in April.

With this license, Sunrate now has regulatory clearance to operate in China, adding to its licenses in Singapore, Hong Kong, the United Kingdom, and Indonesia.

Sunrate has offices in Singapore, Hong Kong, Jakarta, London, and Shanghai.

🔗 Source: Sunrate

🧠 Food for thought

1️⃣ Fintech companies are prioritizing direct licensing to enhance competitive positioning

SUNRATE’s acquisition of Transfar Pay follows a broader industry trend where fintech companies are securing direct regulatory access to streamline operations and gain competitive advantages.

Major players like Stripe and Wise have similarly applied for banking charters to enhance their payment processing capabilities and reduce dependence on third-party partners1.

This strategic shift allows companies to gain direct access to payment networks, reduce operational costs, and build stronger customer trust through regulatory compliance.

The move reflects how established fintech companies are maturing beyond their initial partnership-dependent models toward more integrated, self-sufficient operations.

2️⃣ Strategic timing captures China’s massive payments market expansion

The acquisition positions SUNRATE to benefit from China’s rapidly expanding payments market, which is projected to grow from USD 43.65 trillion in 2025 to USD 65.30 trillion by 20302.

This represents an 8.39% compound annual growth rate, making China one of the world’s most attractive payments markets for international expansion2.

The timing also aligns with increased fintech M&A activity, as Q2 2025 witnessed a 40% year-over-year increase in deal activity across the sector3.

China’s payments landscape is dominated by mobile wallets and digital transactions, with platforms like Alipay and WeChat Pay already expanding internationally across 20+ countries4.