The “Lucky Money” That Started It All—The Reinvention of the Ancient Tradition “Red Packet” in Digital Times

Abstract

In August 2020, President Trump attempted to ban WeChat, indicating the growing impact of the most widely used social medium in China. WeChat enjoys a monthly active user base of 1.2 billion, but the Internet giant’s story started with a humble function, “Red Packet.” The function of Red Packet paved the way for WeChat to intelligently integrate into the Chinese financial sphere. This study examines the cultural, economic, and relational implications of the digital reinvention of traditional red packet gifts, and monetary giving that represents good luck and well wishes in festive situations. Drawing upon Mauss’ conceptualization of gift economy within the context of contemporary China and the art of social relationships, “ guanxi,” the author closely examines Tencent’s annual report and conducts semi-structured interviews to study WeChat Red Packet (hereafter WCRP) gifting. This article concludes that (1) the obligatory feeling of guanxi management renders WCRP giving, receiving, and reciprocity compulsory practices; (2) WCRP facilitates “immediate reciprocity,” in which, instrumental guanxi may be produced and dissolved instantaneously; (3) the phenomena of social comparison and social hierarchy are mirrored in virtual groups; (4) with platformed sociality and monetizing connectivity, WCRP paved the way for alternative economic practices within Chinese authoritarian capitalism; and (5) WCRP contains characteristics of a personalized gift and materialist commodity.