Even though it has shown enthusiasm for blockchain and related technology, Ant Group has still chosen to abide by China’s hardline approach to crypto. As reported by Cointelegraph in March 2022, Ant Group was one of the companies that imposed limitations on their NFT platforms because they were concerned about the Chinese government’s tough reaction.
Jack Ma, the Chinese billionaire and creator of Alibaba, has agreed to give up control of the financial technology giant, Ant Group, in accordance with the latter’s restructuring and corporate governance optimization.
Before the alteration, Ma had control over the company through his 10% stake and other related entities. Following the restructuring, no single shareholder will have control over Ant, with major shareholders like Hangzhou Junhan and Hangzhou Junao exercising their voting rights independently. This adjustment will not shift the economic interests of Ant Group’s shareholders or their beneficiaries.
Analysts suggest this change could be beneficial for Ant Group in the long run, as its new structure with more varied voting rights is more stable and could pave the way for a future IPO. After the announcement of Ma’s surrendering control, the shares of Alibaba have increased significantly.
Even though Ant Group had plans to raise $30 billion in 2020 through an IPO, the Chinese government decided to put a stop to it. Despite this, Ant Group has continued to work on blockchain and digital assets, and is among the tech companies that have founded blockchain alliances in the past few years.
The company has also been developing its AntChain, launching new products in 2022. However, it has still adhered to China’s negative attitude towards crypto, implementing restrictions on its NFT platforms in March 2022.