Digital payment should not follow the mainland to develop blockchain technology

Third-party payment in Taiwan has developed slowly. Faced with the entry of Alipay into Taiwan, many people have called for the regulation to be relaxed as soon as possible. However, former National Development Council Chairman Kuan Chung-min believes that under the requirements of financial supervision, relaxing regulations alone is not the solution. If Taiwan follows the same model as Alipay and WeChat, "can it beat them?" He believes that Taiwan should develop "blockchain" technology and take another path to develop digital payments.

Guan Zhongmin is currently researching and promoting blockchain technology to support new account networking architectures, hoping to develop new financial technology ( Fintech ) in Taiwan. He said that in the past, only some new things could be developed because mainland China's laws and regulations were very incomplete. Taiwan was too afraid of financial problems and was too rigid to develop. If it wanted to take into account financial supervision and development at the same time, a compromise must be reached, and blockchain is such a way.

Guan Zhongmin said that everyone is talking about loosening regulations. He used to think that as long as they were loosened, it would be fine. In fact, this is not true. Financial supervision requires supervision when encountering major money-related interests. This reason still exists, so we cannot ask for loosening regulations. Instead, we need to ask for how to separate money from transactions, which is the concept of "blockchain."

Guan Zhongmin said that Alipay and WeChat are completely centralized, and blockchain technology is a completely different concept. This system is connected to the Internet, all records are recorded using blockchain technology, and all money must go through banks. This system must be approved by the Financial Supervisory Commission and agreed to by all participants.

Also, Alipay is using subsidies in mainland China. Taiwan cannot possibly outsmart the mainland because it is larger than Taiwan. If Taiwan imitates the mainland's third-party payment development model, then a lot of Taiwan's information, including consumption habits, may be included in Alipay's big data. This is not what we want, but blockchain technology can avoid this situation.