Yunji IPO'd at $3B — six years later it's worth $8 million

Yunji, founded in Hangzhou in 2015, built China's first social e-commerce machine: goods sold through networks of paid-member distributors earning commissions for recruiting. The model drew 23.2 million buyers and 7.4 million paid members by IPO eve — and a ¥9.5841 million fine in May 2017 for pyramid-scheme-like practices did not slow the climb. On May 3, 2019, Yunji became the first social e-commerce IPO, closing its debut up 28.6% at $14.15, valued at roughly $3.1 billion.

Every pivot after the IPO dismantled the engine. The three-tier distribution was flattened to two tiers to distance the company from regulatory risk; then came the pivot to an open platform with third-party sellers, which halved merchandise sales in 2020; then, in the second quarter of 2021, the paid membership itself was abolished — registration became free. Revenue fell from ¥13 billion in 2018 to ¥5.5 billion in 2020, ¥2.2 billion in 2021 and ¥640 million in 2023 — five consecutive years of decline, each one roughly halving the last.

By October 5, 2023, the stock had closed below $1 for thirty consecutive trading days and Nasdaq issued its delisting warning. Yunji survived by transferring to the Nasdaq Capital Market in April 2024 — on April 10 it was worth $14.92 million at $0.75 a share. Survival has not meant recovery: first-half 2025 revenue fell 32.5% year-on-year to ¥158 million, with a ¥100 million net loss, and a market cap of $8.42 million as of September 6, 2025. The company now pitches a fourth model — a membership-driven 'selected' platform in beauty and health.