People attend a spring job fair in Yantai, Shandong Province, China, on Feb. 6, 2025. China OUT/AFP via Getty ImagesAs China’s economic slowdown deepens and consumer spending weakens, a digital commerce platform that promised “shared prosperity through consumer rebates” has collapsed into allegations of frozen funds, forced debt-to-equity swaps, and widespread losses among small business owners.Shanghai Wodian Network Technology Co. Ltd. runs the platform Wodian Tech, which once claimed to serve more than 30 million members, according to Chinese media outlet Consumption Daily via digital news aggregator Zhihu. Marketed as an “innovation in digital consumption,” it attracted hundreds of thousands of merchants with promises of traffic growth, policy alignment, and long-term profit sharing.
Chinese Commerce Platform Collapses, Leaving Merchants Trapped in Frozen Funds Scheme
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