Chinese handset maker trials interest-bearing mobile wallet

Chinese smartphone manufacturer Xiaomi is moving into the financial services world with an interest-bearing mobile wallet account.

Speaking at a trade conference in Beijing, Xiaomi president Bin Lin revealed details of a beta programme for the mobile app, which allows users to earn interest of 3.058% for money transferred from their bank accounts into the fund.

The money market-like fund, which is offered by Guangzhou-based E Fund, appears in the latest version of Xiaomi's own phone firmware, Miui, according to local press reports.

The launch follows fellow-Chinese tech giant Alibaba's foray into the same waters with the 2013 launch of its money-market fund Yu'e Bao in a partnership between Alipay and fund manager Tianhong.

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Comments: (2)

A Finextra member 19 March, 2015, 08:04

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Good to see that happening in China. What would be the benefit. not clear with the real intention of paying the interest for holding the balance.

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Ketharaman Swaminathan - GTM360 Marketing Solutions - Pune 19 March, 2015, 11:35

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Good move with a clear benefit. Hope Alibaba's investee company in India, PayTM, follows suit. Although I'd be happier if the mobile wallet offered at least the 4-6% bank account interest that I forego by moving my money from my bank account to the PayTM wallet.