With Apple Pay changing the way retail payments are made, two giant brands are coming together in order to provide head-on competition. The partnership will have Xiaomi provide the physical Mi Band wristband, while Alibaba's AliPay service will handle the transactions.
Rather than requiring a password to make secure payments, this wearable payment system will be linked to the wearer's identity. This is set up through a web-based service and an identity card, making it extremely easy to make payments after the initial setup with a smartphone. Since theft is an issue, the wristband cannot be paired with any other phone until the original owner deactivates the link between the phone and the wristband.
As well as being able to make payments without passwords, another feature that sets this payment system apart is that it doesn't rely on NFC technology. People wearing this smart payment band will have the flexibility to make payments for everything from hotel rooms to movie tickets—imagine the freedom you could have without a wallet weighing you down.