How UnionPay Quick Pass is Beating Alipay and WeChat Pay in China
By Zhaoben Fang
Professor in Department of Statistics and Finance, USTC
and Junpeng Zhu
Doctor, Hefei iFlybank Financial Technology Co., Ltd
China UnionPay is a financial services corporation established in 2002 and headquartered in Shanghai. UnionPay operates an inter-bank information exchange network for bank cards in mainland China, which has now extended to more than 170 countries and regions around the world.
From 10m to 120m Users
Quick Pass is UnionPay’s contactless payment product, relying on the People’s Bank of China chip technology. It is a contactless payment product that conforms to the standard of EMV (the technical standard behind the smart IC cards formulated by Europay, Mastercard and Visa), using HCE (host-based card emulation) to generate virtual card numbers for each transaction. In May 2018, the logo of UnionPay Quick Pass was unified in the standard style of EMVCo’s contactless indicator. The red Quick Pass app is free software released by UnionPay in December 2017. With the unified entrance of mobile payment in the Chinese banking industry, the number of users soared from 10 million to 120 million within one year (as of 24 January 2019).
Full Integration
In the current Chinese mobile payment market, UnionPay Quick Pass has become an important part of the payment ecosystem, with market share and penetration rate of 9.75% and 11%, respectively, ranking it third in China. UnionPay embraces ...
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