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Alipay Bitcoin Ads Signal New Crypto Trends in Mainland China

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Alipay Bitcoin Ads Signal New Crypto Trends In Mainland China

Alipay Bitcoin Ads- Alipay Launches Bitcoin ETF Ads, Users React in Mainland China

Alipay Bitcoin Ads– Alipay, China’s largest digital payment platform with over 1 billion users, has reportedly begun displaying Bitcoin and cryptocurrency-related advertisements to users in mainland China. The ads, which promote Bitcoin exchange-traded funds (ETFs), signal a shift in how crypto investments are being marketed to Chinese consumers, despite the country’s strict stance on cryptocurrency.

Bitcoin ETF Ads on Alipay Spark Crypto Buzz in China

According to local news outlet Sina Finance, on December 12, 2024, many Alipay users in mainland China were greeted with promotional ads related to Bitcoin ETFs. These ads specifically featured spot Bitcoin ETFs and encouraged users to invest with a minimum of 10 yuan (approximately $1.40), saying: “Global investment, cryptocurrency soaring, 10 yuan minimum investment, get on board now.”

The ad directed users to Huabao Overseas Technology C (QDII-FOF-LOF), which allegedly offers indirect exposure to Coinbase stock and the ARK 21Shares Bitcoin ETF. This development has raised eyebrows, given the Chinese government’s strict regulation on cryptocurrency-related activities.

Alipay Users Limited to Daily Bitcoin ETF Purchases

Colin Wu, a well-known local market observer, revealed on X (formerly Twitter) that mainland China users are currently allowed to invest up to 1,000 yuan ($137) per day in the Huabao Bitcoin ETF. Wu also noted that the ad indirectly exposes users to Bitcoin investments by connecting them to Coinbase and ARK’s Bitcoin ETF.

Alipay Bitcoin Ads Signal New Crypto Trends In Mainland China
Source: Colin Wu

In another post, Wu explained: “It indirectly invested in Coinbase stock and Ark spot Bitcoin ETF by investing in Wood Sister’s fund. In addition, Huabao Technology and many similar QDIIs advertise cryptocurrency on Alipay.” The news of these crypto ads first broke on December 11 through ChainCatcher, a local blockchain outlet.

Some Alipay users have confirmed seeing these ads, with many speculating that the next logical step could be the ability to purchase Bitcoin directly through the platform.

Alipay’s Shift: A Possible Loophole or a New Era for Crypto in China?

Although Alipay has not yet responded to inquiries about these crypto ads, experts have weighed in on the situation. Yifan He, CEO of Red Date Technology, believes that Alipay’s parent company, Ant Financial, does offer certain US ETF trading services. “So allowing the Bitcoin ETF would not surprise me,” He told Cointelegraph, adding that all trades still go through Ant Group and are conducted in Chinese yuan.

He further explained that as long as individuals cannot illegally move yuan out of China, regulators are unlikely to treat it as a significant risk. However, he speculated that the ads may not be a direct offering from Ant Financial but rather a marketing effort by third parties exploiting potential loopholes. “It doesn’t mean anything. They will disappear soon,” he said.

Alipay’s History with Cryptocurrency: A Complex Relationship

Despite these recent developments, it’s important to note that Alipay has a history of banning Bitcoin-related transactions. In 2019, the platform officially prohibited any transactions involving Bitcoin, aligning with China’s broader anti-crypto stance.

China’s government banned cryptocurrency exchanges in 2017 and escalated its crackdown on crypto activities in 2021. However, the Chinese government has also stated that crypto assets are considered legal property protected by law, adding to the complexity of the country’s relationship with cryptocurrencies.

Could China Be on the Verge of Reopening to Bitcoin?

While the Chinese government has maintained a firm anti-crypto stance, there have been ongoing rumors that the country might reconsider its position on Bitcoin. In 2024, amidst the crypto bull market, some industry figures speculated that China could soon “unban” Bitcoin. However, this idea remains largely unsubstantiated, with the crypto community remaining skeptical.

In April, Bloomberg data analyst Jack Wang suggested that Hong Kong-based Bitcoin ETFs would not be available to mainland Chinese investors. Despite this, in November, Hangzhou-based Nano Labs, a crypto mining chip designer, began accepting Bitcoin payments via its business account on Coinbase, signaling a potential softening in certain sectors.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.

Alipay Bitcoin Ads Signal New Crypto Trends In Mainland China

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