# China fintech regulation

China’s Crackdown Closes In on Yirenzhike: Lending Engine That Fueled Growth Faces a Regulatory Dead End

China’s financial regulator has targeted Yixianghua, the lending conduit for Yirenzhike, for practices including opaque fees and forced disbursements. The 9th regulation — capping annualised costs at 24% and folding all charges into a comprehensive rate while tightening bank partner lists — directly undermines the platform’s core revenue model, forcing strategic pivots that are unlikely to replace lost margins quickly.