Ant Financial joins red envelope frenzy

Ant Financial Services Group, the Internet finance arm of Alibaba Group Holding Ltd, said on Thursday it is investing huge amounts on being able to provide cash-filled virtual red envelopes via its Alipay Wallet application, during the upcoming Spring Festival that falls on Feb 8.

The use of virtual red envelopes, which contain cash or gift coupons, first came to prominence during last year's Spring Festival, mostly prompted by WeChat's Wallet - a mobile payment tool owned by Alibaba's arch-rival Tencent Holdings Ltd.

Fan Zhiming, the head of Ant Financial's payments unit, refused to reveal the exact amount of its investment in the upcoming Spring Festival red envelopes campaign.