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The real question people are asking is why now? Didn't the regulators have enough time to assess the irregularities earlier? A $30 billion IPO plan couldn't hav

The real question people are asking is why now? Didn't the regulators have enough time to assess the irregularities earlier? A $30 billion IPO plan couldn't have been made public without the regulators giving at least some in-principle approval, and I'm sure Jack Ma knows how to navigate the bureaucracy/politics in China before he would make such plans public. I don't understand Chinese politics much but this just reeks of vendetta. >After the 2008 financial crisis, Basel III includes regulations on "shadow banks" like Ant in addition to traditional banks. Is it possible for a bank that has only assets of 3B lends out 300B? But, Ant already did. They created an Asset-Backed Security (ABS) via a process called securitization. It is unprecedented that a financial institution with such big financial leverage and a large amount loan going unregulated. If that's the case, why were they being allowed to continue as a privately-owned lender for so long?

geodel 6y ago
> The real question people are asking is why now? These why now questions unfortunately never have satisfactory answers. Too early: there is no scam/govt is stifling innovation, in the middle: not enough proof, late: why regulators were sleeping till now.
Congeec 6y ago
Maybe some people of power who get involved and want to reap benefits. Maybe the company found in 2013 is too new for the government to catch up. China does not have a long established financial industry like developed countries. State capitalism has just started four decades ago. Maybe Jack Ma knows regulations will come out soon and just made public opinions before regulation rules are revealed to the public. I do not have any source to back my guesses.
- vagrantJin 6y ago
  > China does not have a long established financial industry like developed countries You can make a shady case for modern western idea of finance but China has had a strong finacial industry for centuries.
  - deleted 6y ago
    [deleted]
analyst74 6y ago
> The real question people are asking is why now? That is a very good question, from public information I can gather around Ant and Ma's career in general, it seems he has strong backings from a wide range of powerful people due to financial relations as well as his reputation -- he is the Elon Musk of China and commands tremendous respect and pride among not just citizens but also top leadership. In fact, his backing is so strong that China's banking and financial regulators have not been successful at regulating Ant despite other fintech pioneers' blatant failings. However, this time he miscalculated how far he can push and the more conservative voices in the party have finally gained an upper hand.
- justicezyx 6y ago
  Ma was not Elon Musk of China. He was routinely ridiculed for his heavily romanized views on many topics. No one was surprised by his laughable showing in the chat with Elon at WAI 2019 where he behaves like a fraud. His backing from powerful hidden political figures are well acknowledged. Although that's not new, anyone who commands such power are backed that way, this pattern can trace back to Qin and Han dynasty.
  - riffraff 6y ago
    sorry to ask, but what does "romanized views" mean?
    - sporkland 6y ago
      Romanticized maybe?
    - phs318u 6y ago
      I suspect it means “westernised”
    - justicezyx 6y ago
      Very poor writing of mine...
    - friendlybus 6y ago

geodel 6y ago

> The real question people are asking is why now? These why now questions unfortunately never have satisfactory answers. Too early: there is no scam/govt is stifling innovation, in the middle: not enough proof, late: why regulators were sleeping till now.

Congeec 6y ago

Maybe some people of power who get involved and want to reap benefits. Maybe the company found in 2013 is too new for the government to catch up. China does not have a long established financial industry like developed countries. State capitalism has just started four decades ago. Maybe Jack Ma knows regulations will come out soon and just made public opinions before regulation rules are revealed to the public. I do not have any source to back my guesses.

vagrantJin 6y ago
> China does not have a long established financial industry like developed countries You can make a shady case for modern western idea of finance but China has had a strong finacial industry for centuries.
- deleted 6y ago
  [deleted]

analyst74 6y ago

> The real question people are asking is why now? That is a very good question, from public information I can gather around Ant and Ma's career in general, it seems he has strong backings from a wide range of powerful people due to financial relations as well as his reputation -- he is the Elon Musk of China and commands tremendous respect and pride among not just citizens but also top leadership. In fact, his backing is so strong that China's banking and financial regulators have not been successful at regulating Ant despite other fintech pioneers' blatant failings. However, this time he miscalculated how far he can push and the more conservative voices in the party have finally gained an upper hand.

justicezyx 6y ago
Ma was not Elon Musk of China. He was routinely ridiculed for his heavily romanized views on many topics. No one was surprised by his laughable showing in the chat with Elon at WAI 2019 where he behaves like a fraud. His backing from powerful hidden political figures are well acknowledged. Although that's not new, anyone who commands such power are backed that way, this pattern can trace back to Qin and Han dynasty.
- riffraff 6y ago
  sorry to ask, but what does "romanized views" mean?
  - sporkland 6y ago
    Romanticized maybe?
  - phs318u 6y ago
    I suspect it means “westernised”
  - justicezyx 6y ago
    Very poor writing of mine...
  - friendlybus 6y ago