China Roundup: ByteDance delays IPO to 2022, and more

Bytedance delays IPO to 2022

• The TikTok owner is reportedly awaiting governmental approval, which unlikely to come until the Communist Party’s 20th congress takes place next autumn.
• ByteDance was also supposedly advised “not to rush” its public listing. However, a representative from the company said that it does not have plans to launch an IPO.
• This development comes amid heightened scrutiny on Chinese tech firms as the state cracks the whip on issues related to regulations and monopoly.

Tencent gets compensation from website trading WeChat accounts

• Tencent recently sued a website promoting unfair competition by trading, registering, and unsealing WeChat accounts.
• Tencent said that the actions of the network company have “seriously” affected WeChat’s normal operations, and “destroyed” the ecology of the social media service.
• This comes as a spike in the number of regulations surrounding Tencent has led to the creation of a grey market where goods are traded without being sourced from an official supplier.

Hong Kong, mainland China push for cross-border fintech products

• Authorities will create a “one-stop sandbox” platform in the Greater Bay Area, which will let fintech firms from the Greater Bay Area test and develop cross-border products before releasing them in public.
• Companies can also reportedly execute experiments faster and at a lower cost through the sandbox.
• The sandbox will also help regulators in mainland China and Hong Kong address regulation and jurisdiction concerns.