Core Viewpoint - The introduction of two new regulations by the China Payment and Clearing Association aims to strengthen the management of outsourcing services in the payment industry, enhance self-regulation, and promote a healthy development of the payment service market [1][3]. Group 1: New Regulations Overview - The two new regulations are the "Record Management Specification for Acquiring Outsourcing Service Institutions" and the "Evaluation Management Specification for Acquiring Outsourcing Services," which provide detailed guidelines for the registration, risk information sharing, and self-evaluation of outsourcing institutions [1][4]. - These regulations are designed to ensure the effective implementation of the "Self-Regulatory Management Measures for Acquiring Outsourcing Services," which was released in 2024, and to establish a basic framework for managing outsourcing services [3][4]. Group 2: Industry Challenges and Responses - The payment industry faces issues such as illegal subcontracting, inadequate merchant audits, and insufficient information security, which disrupt the order of the payment market [3][5]. - Since 2020, the association has been working to improve transparency and governance in the outsourcing service market, aiming to combat illegal activities such as gambling and fraud [3][6]. Group 3: Specifics of the New Regulations - The "Record Management Specification" outlines the conditions and requirements for outsourcing institutions to apply for registration, including the types of services they can offer, such as transaction information transfer services [4][6]. - The "Evaluation Management Specification" identifies 30 types of risky behaviors for outsourcing institutions, categorizing them into three risk levels and establishing a blacklist management system to enhance accountability [6][7]. Group 4: Market Impact and Future Outlook - The new regulations are expected to accelerate the reshaping of the industry, particularly affecting high-risk small outsourcing institutions, and will help establish a higher barrier to entry in the payment sector [7]. - In the long term, outsourcing institutions with strong compliance capabilities and high technical standards are likely to gain more business opportunities, shifting the focus from price competition to compliance and technology [7].

Core Viewpoint - The China Payment and Clearing Association has issued a warning regarding the management of outsourced acquiring services, emphasizing the need to prevent subcontracting and sub-leasing risks in the industry [1][2][4]. Group 1: Regulatory Requirements - The association has outlined three main requirements for the industry: 1. Acquiring institutions must enhance management of outsourced institutions and their operations 2. Acquiring institutions should strengthen risk management of outsourced services 3. Outsourced institutions must comply with self-regulatory management requirements [2][3]. Group 2: Industry Oversight - As of May 6, over 33,000 outsourced institutions have completed registration, involving more than 700 aggregation payment institutions, with 972 institutions registered in the current year [1]. - The association has noted that acquiring institutions should conduct thorough due diligence on outsourced partners and establish risk management systems, including annual independent security assessments [3][4]. Group 3: Market Trends - The regulatory environment for outsourced acquiring services is expected to remain stringent, with ongoing inspections and a focus on combating fraudulent merchant activities [4][5]. - The association's push for full registration of existing outsourced institutions is seen as a critical step towards enhancing market integrity and user trust [5].