A subsidiary of Xiaohongshu has completed the full acquisition of Oriental Electronic Payment Co., Ltd., with the primary goal of securing a payment license. This strategic move offers Xiaohongshu a multitude of benefits. Firstly, it enables the platform to enhance the user payment experience, align with regulatory standards, and achieve significant savings on payment transaction fees. As Xiaohongshu's e-commerce Gross Merchandise Volume (GMV) continues to surge, the cost-saving potential will become increasingly pronounced. Secondly, this acquisition paves the way for Xiaohongshu to venture into credit services, facilitating banks in acquiring new clientele.

However, it is improbable that Xiaohongshu will replicate the meteoric rise of "Alipay". The rationale behind this assertion stems from the fact that Xiaohongshu's e-commerce and local life service sectors are considerably smaller in scale when juxtaposed with those of industry giants like Alibaba and Douyin. Given the already high penetration rate of online payments, acquiring new users proves to be a formidable challenge. Moreover, altering user payment habits is no easy feat, especially considering that Alipay and WeChat Pay have already transcended their initial platforms to construct a robust financial ecosystem.

Despite these hurdles, procuring a payment license remains a judicious move for Xiaohongshu as it seeks to make its foray into the payment sector.