368: Chapter 368 The Concept of Star Bank

On the early morning of March 1st, as the sun was just rising in New York and London was still in the dead of night, Asia had already entered its morning trading session.

Bloomberg News broke a story with a headline in bold black text:

EXCLUSIVE: Sources say Xinghuo Tech considering bank license

“Exclusive: Sources say Xingchen Technology is considering applying for a banking license.”

Three minutes later, global financial media followed up frantically. Reuters, CNBC, Nikkei Shimbun, The Wall Street Journal, and the Financial Times—all featured it as their top headline.

The news spread like wildfire. At 10:00 AM, the A-share market opened.

Banking stocks took a collective dive.

China Merchants Bank: -5%

Ping An Bank: -4%

Industrial Bank: -3%

China Construction Bank: -2%

The stock forums exploded.

“Xingchen is going into banking? Are traditional banks finished?”

“Xingchen has Xingchen Pay with 300 million daily active users. If they start a bank, they’ll be invincible.”

“Should I sell my China Merchants Bank stock? Waiting for an answer online, I'm pretty anxious.”

“Don't panic, brother. It takes at least three years for Xingchen to apply for a license. The impact won't be that fast.”

“In three years, the opportunity will be long gone. You don't understand Xingchen's speed.”

At 2:00 PM, below the Xingchen Headquarters in Shenzhen, dozens of reporters with telephoto lenses and cameras blocked the entrance. Video cameras, cameras, and recording pens were all pointed at the building's glass doors.

Security guard Old Li stood at the door. Fifty-year-old Old Li had worked at Xingchen for three years and had seen countless big scenes, but he had never seen a spectacle like today’s.

He helplessly said to the reporters, “Everyone, President Su really isn't here today.”

The reporters didn't believe him. “Then we’ll wait. He has to come back eventually.”

Old Li smiled bitterly. “Wait if you want to. It's cold outside, so stay warm.”

A young female reporter wrapped her coat tight and said to the cameraman beside her, “Keep the camera on the door, just in case Su Chen comes out.”

The cameraman nodded, the lens fixed on the door, unmoving.

At 3:00 PM on March 6th, in the first-floor lobby of Xingchen Headquarters in Shenzhen, Su Chen was surrounded by dozens of reporters as soon as he stepped into the building. Microphones and recording pens were almost shoved into his face. Security tried to hold the reporters back, but there were too many of them.

Su Chen raised his hand to signal the security guards to step back, then said, “Since everyone is here, let's hold an impromptu press conference.”

Reporters frantically raised their hands.

A female reporter grabbed the microphone and asked urgently, “President Su, is Xingchen really going to establish a bank?”

Su Chen smiled, a smile that held an unfathomable meaning. “Xingchen will indeed enter the financial sector.”

The crowd erupted in an uproar.

Reporters began recording frantically.

Su Chen raised his hand for silence. “But we are not establishing a bank.”

The entire hall instantly fell silent; one could hear a pin drop.

Su Chen said, “We are acquiring a bank.”

The reporters were stunned.

Su Chen continued, “Xingchen Bank will not start from zero. It takes three years to apply for a license, five years to build a branch network, and two years to recruit staff. That's too slow.”

He paused. “We want to find a bank with a foundation, a license, and a team, and then—inject Xingchen's blood into it.”

A reporter pressed, “Which bank?”

Su Chen smiled without answering. “That’s a secret. But you will know very soon.”

Another reporter asked, “After the acquisition, what will Xingchen Bank do?”

Su Chen looked at him. “Xingchen Bank will be integrated with Xingchen Pay, Xingchen Chain, and Xingchen's ecosystem. Users can use their Xingchen accounts to save money, transfer funds, invest, take out loans, and buy insurance.”

He paused. “In a word, what Xingchen wants to do is—make finance simpler.”

March 10th, Hong Kong.

In front of an office building in Central, a black Mercedes-Benz pulled up. The door opened, and Su Chen walked into the building with several attendants.

A simple notice was posted at the entrance: 'This bank is holding a board meeting today; business is suspended.'

This was a Chinese-funded bank that had been rooted in Hong Kong for sixty years. It was medium-sized in terms of assets and held dual licenses for Hong Kong and the mainland. Its name didn't often appear in the news, but it had a good reputation within the industry.

In the top-floor conference room, the board of directors was conducting a final vote. Twelve directors sat on either side of the long table, ranging in age from fifty to seventy. A thick acquisition agreement lay in front of each person.

Chairman Zheng Haiquan sat in the main seat. Sixty-five-year-old Zheng Haiquan had worked in the banking industry for forty years and had weathered countless storms. But at this moment, his hands were trembling slightly.

He spoke, his voice steady, “Xingchen's offer is—a thirty percent premium per share, an all-cash acquisition. The condition is to retain the existing team and rename it ‘Xingchen Bank.’”

One director raised his hand. “A thirty percent premium is very generous. I agree.”

Another director nodded.

“Xingchen's ecosystem, combined with our license, opens up so many possibilities. Cross-border payments, consumer finance, and wealth management are all Xingchen's strengths.”

Another director said, “My only concern is, will Xingchen use us as a springboard and replace us in three years?”

Zheng Haiquan shook his head. “Su Chen personally promised that the entire existing team will be retained and the management will remain unchanged. What they want is our license and experience, not to replace people.”

The conference room fell silent for a few seconds.

Zheng Haiquan said, “We will now vote. Please raise your hand if you agree to the acquisition.”

All twelve hands were raised. Passed unanimously.

March 15th, Xingchen Headquarters, Shenzhen.

In the press hall, over three hundred reporters were already seated. On the large screen, golden characters were particularly eye-catching: 'Xingchen Finance—Making Finance Simpler'.

Su Chen walked onto the stage. He was wearing a dark gray shirt and black trousers, with his sleeves rolled up to his forearms. Behind him, the large screen began to scroll through the business map of Xingchen Finance.

“Xingchen Pay is officially upgrading to ‘Xingchen Finance.’ Simultaneously, Xingchen has completed the acquisition of DBS Bank Hong Kong and renamed it ‘Xingchen Bank.’”

The large screen displayed:

Xingchen Finance

Xingchen Pay: Cross-border settlement, Xingchen Chain

Xingchen Bank: Deposits, loans, credit cards, wealth management

Xingchen Consumer Finance: Installments, credit loans

Xingchen Wealth Management: Funds, insurance, trusts

Su Chen continued, “The goal of Xingchen Finance is not to compete with traditional banks. It is to give users a better choice.”

He paused. “Xingchen users can use their Xingchen accounts to save, transfer, and invest. They can take out loans using Xingchen credit at interest rates lower than traditional banks. They can use Xingchen Pay for cross-border transfers with a fee of only one-thousandth.”

The reporters in the audience recorded frantically.

A reporter raised a hand. “President Su, will Xingchen Bank open physical branches?”

Su Chen shook his head. “No. Xingchen Bank is a digital bank. Users don't need to go to a branch; they can handle all business on their phones.”

Another reporter asked, “Then what about traditional banks?”

Su Chen smiled. “Traditional banks have their own advantages. They have branches, customers, and experience. Xingchen isn't going to steal their livelihood. What Xingchen wants to do is bring fresh blood to the global financial market. Not with capital, but with technology. Not with a monopoly, but with openness.”

After the press conference, Su Chen returned to the Xingchen Building. He stood by the window, looking at the scenery outside.

Lin Wan pushed the door open and entered, holding a report. “President Su, after today's conference, Xingchen Pay's users surged by ten million. Xingchen Bank's official website was overwhelmed by traffic.”

Su Chen didn't look back. “As expected.”

Lin Wan asked, “What's next for Xingchen Finance?”

Su Chen turned around. “Stabilize first. Integrate Xingchen Bank with Xingchen Pay, and Xingchen Chain with Xingchen Finance. Make it easy for users to use, reassure the regulators, and give traditional banks nothing to complain about.”

He walked back to the window. “In the finance industry, you can't rush. You have to take it one step at a time.”

The development of Xingchen and Spark had already turned them into a super conglomerate. The two groups had over 800,000 employees combined, and the number of employees from upstream and downstream suppliers exceeded 3 million. In the land of China, these two groups had already surpassed the scale of Central state-owned enterprises, becoming strategic enterprises that influenced the national economy and people's livelihoods.