WeChat aims to implement their app on the blockchain to resolve the problems faced with a refund of company expenses and also tax evasion in China. The new development will see Tencent, the company that owns WeChat integrate blockchain into WeChat. WeChat’s Social Media platform will be vital to transforming these problems, as its successful tested already at the Shenzhen’s Bao’An Stadium, an automobile repair center, and also a restaurant.
WeChat Moves On The Blockchain To Aid Faster Refunds of Company Expenses
Tencent will be integrating blockchain with its social media platform, WeChat to aid faster refunds on company expenses in China, as well as resolving the problem of tax evasion. The platform was released in 2011 and now has 1 billion monthly active users and 902 million daily active users.
Tencent is a Chinese multinational investment holding conglomerate founded in 1998; it consists of subsidiaries that are specialized in different Internet-related services and products, entertainment, artificial intelligence, and technology globally.
Tencent started with its building of a suite of blockchain services last year, and it was stated to use the technology to offer digital asset management, authentication and “shared economies.” One of the goals noted a year ago is the Blockchain for WeChat payment platform and also the use of blockchain to end tax evasion in China. Even though the Chinese government is not supportive of cryptocurrency, the underlying technology, blockchain has been keyed into by Tencent and also some other companies in the country.
The new means of eliminating delay in refund of expenses will be catered for through its WeChat payment services, WeChat Pay. The application has already been tested at a restaurant in Shenzhen, China, where payment of services was made through the existing WeChat payment service.
The process of giving payment data through its blockchain platform to users, employers, or between merchants and customers eliminate the delay that is usually encountered in the standard manual claim process.
The stressful and complicated payment system in China, whereby the different type of receipt is given to staff and reimbursement for staffs by companies require a receipt issued with tax number details, which will be generated every time payment need to be made. The old process and the stress is solved now with the new WeChat payment platform.
Also, Tencent will be using the blockchain platform to address the issue of tax evasion in China. As prepaid receipt are offered to merchants to pay ahead, and deduction will be made later.