Chinese game publisher miHoYo recently sued Minmetals International Trust Co., Ltd. (“Mintrust”) following a business trust dispute. The case will be heard on July 25 in the Chengzhong District People’s Court of Xining City, China’s Qinghai Province.
Many Chinese media outlets reported that the Mintrust product distributed by China Merchants Bank was suspected of crashing. It has been learned that Mintrust Dingxing Products No. 1 to No. 15 distributed by China Merchants Bank expired, but all failed to pay back owed sums. The total scale exceeds 2.3 billion yuan ($343.4 billion). Many Chinese web users speculate that the case is related to this. When asked for a response by Chengdu Business News on Monday, miHoYo said “no comment.”
The failed items are trust products sold by China Merchants Bank on a commission basis. The threshold for a purchase is one million yuan. Now, however, all the products in the series are due, but they are unable to complete the payment, with a total sum of over 2.3 billion yuan.
Prior to the purchase, they were subject to the tactical inducement and deliberate deception of China Merchants Bank. The angry investors compiled several possible violations of China Merchants Bank and reported them to the China Banking and Insurance Regulatory Commission (CBIRC). The investors’ representative said that as of now, the CBIRC has issued an acceptance reply letter to the investors, and that CBIRC and its Beijing equivalent have officially intervened in the investigation.
One web user commented that “after trapping game players, the company is trapped by financial institutions.” Another wrote, “Oh my goodness. It is no wonder that the company is so stingy and is unhappy to give users 10 game coins for free. It’s because they make investment after collecting money from users.” Another commented, “Is it funny? Even standard wealth management products distributed by China Merchants Bank could fail in the end. It’s formal financial management is crashing. A second thought incurs profound fear.”
According to public information, miHoYo was established in 2011, and has released many well-known games, including Guns Girl Z, Honkai 3, and Genshin Impact. According to the monitoring data of Sensor Tower, a third-party organization, in 2021, the revenue of miHoYo in the mobile end of overseas markets exceeded $1.8 billion.