Alibaba, the online shopping platform, released a statement expressing the refusal in the alliance with Lolli to introduce the payment option with cryptocurrencies.
At present, digital assets are having an important space in the financial and commercial sphere of nations, even with the introduction of blockchain technology in the economic processes of countries; it has opened important advances that drive the development of society.
Despite this, short-term objectives are not always achieved, which indicates that confidence in the crypto industry must still be growing. This could be the reason why an alliance between Alibaba and Lolli could not yet exist.
The use of cryptocurrencies should not be confused with the use of blockchain technology since cryptocurrencies still have a group of sectors that are against these assets. Even entire nations prohibit the use of digital currencies but think differently from the use of blockchain technology.
The conflict or inconvenience between the shopping giant Alibaba and Lolli is due to the unauthorized use of brands or, in another sense, to the incorrect use of promotions without the express knowledge of the other company.
To give more details, Lolli offered on the “Singles Day” a BTC rewards promotion for all those users and customers who buy items on the Alibaba platform. Alibaba responded to this by commenting that Lolli did not have the right to use his name for that promotion so the conflict arose only from misuse of trademarks. This led some customers to consider that the purchasing platform was gradually opening up to the introduction of these assets.
In a recent interview with local media, a spokesperson for the Alibaba Company commented that everything was due to ties between contractors of both companies, which although they did not consider the impact that it could have between the industry, they conducted negotiations without Alibaba’s consent.
“One of the Alibaba.com contractors hired a subcontractor who brokered an affiliate marketing program with Lolli. This was done without Alibaba.com’s knowledge. The Alibaba.com contractor is ending the relationship with the subcontractor who was working with Lolli. As a result, Lolli should no longer promote or bring traffic to Alibaba.com”, he concluded.
Thanks to this error, many news portals reviewed Lolli’s activity as an unofficial opening by Alibaba to cryptocurrencies; even stating that the company would be accepting cryptocurrencies on its online shopping platform.
This bad information went viral for some time. Since many portals published the data without confirmation of the official source, or an informative note published by both parties.
Although Alibaba is not accepting cryptocurrencies on its platform, there are other alliances that seek the integration of digital currencies into the commercial or financial market in private companies. An example of this is the alliance between Ripple and the renowned Santander financial group to integrate projects that involve Ripple’s digital currency, the XRP.
Sometimes companies prefer to take advantage of blockchain technology to store information but it does not mean that the company has to use cryptocurrencies. A company can use blockchain and cryptocurrencies or only the benefits that blockchain offers.
By María Rodríguez