Clearer regulations on digital hongbao needed

This Lunar New Year, the Central Commission for Discipline Inspection has once again stressed members of the Communist Party of China must obey the Eight-Point Regulation, which aims to curb corruption and extravagance. Festivals and holidays used to be peak periods for such extravagance and gift-giving in exchange for favors. But over the last five years, thanks to the enforcement of the code of behavior for officials, expensive banquets paid for with public money have largely disappeared during the holidays.

However, with the rise of digital payment services, sending and receiving gift money during festival has come to the fore.

The sending and receiving of hongbao among relatives and friends to promote or maintain their relationships, especially during Spring Festival, is a longstanding tradition. In many areas in China, elders traditionally give money in red envelopes to children during the Spring Festival as a Lunar New Year gift, and many friends will also give red envelopes to one another to celebrate the festival.