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Research on Designs of Modern Payment Systems in China

In this paper, we focus on the design of the modern payment system in China, especially the third-party payment systems. The reason for the flourishing the third-party payment systems including Alipay, WeChat is the demand of government and enterprise units for electronic transaction payment that has had a profound impact on the financial industry, then the traditional banking business model cannot meet the needs of online payment. We conduct research on the main third-party payment systems and solutions in the Chinese market, focusing on the payment system design and principle architecture. We analyze the key issues of the operation of the payment systems, and we also illustrate some possible suggestions in relation to the improvement of China's payment system. Because of the modern financial system characteristics in China, enterprise and institutions need to invest a lot of funds and implement advanced technologies to solve the increasing transaction volumes, lack of manpower, and funds. In terms of subsystem design, we present the access and internal subsystems that provide all types of services based on a full system. We also want to share the case of emphasizing the Alipay system architecture, the study still needs to be focused in detail. Our paper presents the accounting and financial processing design of Alipay. It involves two subsystems, internal and external. The external subsystem is a unilateral account to meet online performance requirements; the internal subsystem uses double-entry subsystems to meet financial needs. In order to compete with other payment service companies like WeChat, our study proves that Alipay payment application program implementation and service accounts on the platform are able to provide direct in-app payment service to users. In this paper, we highlight the feature due to the third-party online payment connection with the internet system with the bank and the service they offer is dependable and safe. The third-party online payment has a completely safe method, which transmits the encryption data from the internet bank system across the safety of the certificates, making sure the account transactions from the customer are safe and the digital signature. In this paper, the architecture design of Jingdong payment platform is emphasized as another powerful design of the payment system in China. The paper concludes that third-party modern systems help with contemporary solutions of financial smart collections, business transactions, networking, digitization, and multi-point distribution.

Payment Systems, Payment Gateways, Financial Companies, Fintech

APA Style

Liu Shao Xiong, Tuyatsetseg Badarch. (2023). Research on Designs of Modern Payment Systems in China. American Journal of Computer Science and Technology, 6(1), 10-19.

ACS Style

Liu Shao Xiong; Tuyatsetseg Badarch. Research on Designs of Modern Payment Systems in China. Am. J. Comput. Sci. Technol. 2023, 6(1), 10-19. doi: 10.11648/j.ajcst.20230601.12

AMA Style

Liu Shao Xiong, Tuyatsetseg Badarch. Research on Designs of Modern Payment Systems in China. Am J Comput Sci Technol. 2023;6(1):10-19. doi: 10.11648/j.ajcst.20230601.12

Copyright © 2023 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License ( which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

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