The logic of internet finance growth

Minister of the Yangtze River Scholar, 100872. The impact of Internet finance on the traditional financial system and the emergence of new financial formats may be the reality of China's finance in the coming years. Internet finance is a new research topic for all researchers, a world that is chaotic and not well known. The basic connotation, operational structure, theoretical basis, business model, risk characteristics, alternative boundaries, and regulatory standards of Internet finance all require us to systematically and deeply study.

I. Internet Finance: Definitions and Forms Regarding the Internet financial connotation, although there is no very accurate definition at present, the understanding of scholars has gradually become clear about its core elements and basic attributes. The so-called Internet finance is finance based on the Internet platform. The Internet platform and financial functions are the two most important elements of Internet finance. Regarding the basic attributes of Internet finance, we agree with Xie Equality's judgment that it is different from the indirect financing of commercial banks and the direct financing of capital markets. It belongs to the third type of financial financing model, which is a broad market space coupled. The important external conditions for the survival and development of Internet finance; the coupling of financial functions and Internet technologies, or the matching of financial functions and Internet technology characteristics at the genetic level, is a necessary condition for the survival of Internet finance and the logical basis for the survival of Internet finance.

According to the division of modern financial function theory, the financial system has six basic functions (Bodie, Merton, 2013): inter-, cross-regional, cross-industry resource allocation; providing payment, clearing and settlement; providing methods for managing risks and Mechanism; provide price information! Reserve resources and ownership division; create incentives. Among the above six basic functions, it is generally considered that "resource allocation" and "payment settlement"

It is the two most basic functions of finance. It is usually mainly undertaken by commercial banks, especially in China. The latter four functions are undertaken by commercial banks and capital markets in different financial models, among which risk management ( Wealth management is the core function of modern finance. From the perspective of genetic matching, the first four functions of Internet and finance are “resource allocation (financing)” payment and liquidation “, “risk management (wealth management)”,” Provide price information ", with higher coupling. The realization of the latter two functions is more based on an institutional structure and product design, but the implantation of the Internet platform does not conflict with the realization of these two functions. In the sense, it is also beneficial to the improvement of the efficiency of these two functions.

3. Internet Finance: Functional Coupling Analysis Internet finance can further optimize the “resource allocation” function of finance. The “resource allocation” in the financial sense means that the supplier of funds transfers their use rights to the capital demand through appropriate mechanisms. The process of the party. This resource allocation process is usually divided into two categories. One is the process of absorbing deposits and issuing loans, mainly by commercial banks as an intermediary; the other is the process of direct trading between fund suppliers and demanders on the market. The platform is mainly the capital market. We have conventionally referred to the former as “indirect financing” and the latter as “direct financing”.

In both forms of financing, the underlying risk of indirect financing is credit risk, and the underlying risk of direct financing is transparency. Traditionally, in indirect financing, the main measure of credit risk assessment, besides credit history and credit rating, focuses more on financial indicators such as cash flow and profit, and the scale of assets (including real estate), and the mechanism of mitigating credit risk. Most are mortgages, pledges and guarantees. In direct financing, the risk of transparency is mainly reflected in whether the information disclosure of listed companies is true, timely and complete. The definition of risk in the two financing modes has no problem within its own logic, but the former is the definition of credit risk by commercial banks. “In fact, the merits of personal or corporate credit, whether there is performance risk, in actual transactions The behavior is the most reflected.

Sustained, high-frequency, credit-backed transactions can more truly and dynamically reflect the credit and performance capabilities of the trading entity.

The Internet and the information flow integration function created the cloud data era, which is obviously different from the small data era based on sampling statistics. By processing the cloud data, the Internet enables people to clearly see the details that the sampling cannot describe. Obviously, today's computers are fully equipped with such large computing power.

In the era of cloud data created by the Internet, the first is how to obtain data, followed by the Internet "open, equal, collaborative, sharing"

The spirit has created a natural platform for the acquisition of data, thus better solving the problem of information asymmetry in economic activities. Perhaps in this era, only the processing of cloud data may form a new "financial intermediary", and the credit information of individuals or enterprises is reflected in it. The credit information embodied in these cloud data is actually much more accurate than the traditional credit identification mark. Therefore, the Internet is clearly taking a step further in the credit risk identification technology that the mainstream financial industry is most concerned with, making the ability to identify risks financially more timely and accurate, and further improving the ability of financial identification risks.

Since the Internet can more effectively identify credit risks and solve the problem of information asymmetry in economic activities, then the Internet-based finance is obviously more conducive to the realization of financial “resource allocation”.

Internet finance can further improve the current payment system based on commercial banks, and provide payment clearing services more conveniently, so that the efficiency of financial payment and clearing functions is greatly improved. In different financial structures, the construction of payment and settlement systems is quite different. In most countries, commercial banks are responsible for the payment of liquidation in social and economic activities, especially in China. China's commercial banks have constructed a variety of payment clearing systems based on real economic transactions and a small number of financial transactions, occupying an absolute dominant position in the payment and clearing functions of the whole society.

As far as the dominant bank payment and settlement system is concerned, due to the absorption and use of modern information technology, the technical means and tools for payment and liquidation are continuously innovated and the efficiency is greatly improved. This is actually a huge role for the Internet. This shows that the Internet-based finance has accelerated the flow of funds on the basis of overcoming the constraints of time and space, and has overcome the payment of liquidation funds in addition to commercial banks using Internet technology improvements or innovative payment tools and payment systems, thereby greatly enhancing the bank. In addition to the payment efficiency of the system, third-party payment and related payment tools that are separated from the banking system by the Internet are one of the core elements of Internet finance in the true sense, and are an important form of Internet finance. Such payment instruments and payment systems with Internet financial genes have begun to have certain characteristics of "disintermediation." Compared with the payment instruments and payment systems in which commercial banks use Internet technology to innovate or improve, they seem to be the same or similar. In fact, there are big differences. The difference comes from the difference in genes. Therefore, you should not confuse the two.

Payment instruments and payment systems based on Internet financial platforms may be difficult to achieve due to their “disintermediation” and high-tech characteristics, which are flexible, convenient, fast and efficient. Therefore, the payment tools and payment systems based on Internet finance are obviously important competitors of existing financial services, including payment instruments and payment systems of commercial banks, and also the promoters of further upgrading of existing social payment systems.

Internet finance has further improved the function of “wealth management (risk allocation). The contribution of Internet finance to the financial “wealth management” function is mainly reflected in three aspects: First, the customer chain is extended downwards to further enrich wealth management. The second is to provide a low-cost, fast and convenient financial product marketing network based on wealth management; the third is to promote the wealth of balance funds, effectively expanding the scale of wealth management needs. In the realization of many financial functions, the demand for wealth management has a large hidden characteristic. Formatted or standardized products and services have little impact on personalized wealth management, because for individualized wealth managers, The identity of “people” is much higher than the recognition of “platform”.

In the current financial state, the Internet financial platform has great appeal to potential non-personalized wealth management demanders. The basic form of expression is to pursue the wealth of balance funds on the premise of optimizing resource allocation. "Yuebao"

It is a valuable case. The biggest contribution of the “Yuebao” type of wealth management tools based on the Internet financial platform is that it breaks through the rhythm of the savings of the balance of commercial banks and realizes the wealth of the balance funds. Here, the client's devaluation funds are no longer idle funds without any income, nor low-interest savings products. The breakthrough of this function has greatly extended the client of wealth management, and brought major challenges to the inherent savings products of commercial banks, especially the current savings products, and thus objectively promoted the competition and transformation of the traditional business of commercial banks. Therefore, Internet finance has a positive role in promoting the expansion of the “wealth management” function.

Internet finance has a positive impact on improving the function of “providing price information” of finance, so that price information is richer, more timely and more accurate. Generally speaking, the price information provided by finance includes two categories: one is the price of capital, that is, the interest rate, and the other is The price of an asset is usually expressed by the stock price and its index. The former is mainly provided by the money market and the banking system, while the latter is released immediately by the dynamics of the capital market.

The introduction of the Internet platform has improved the ability to mobilize funds and the efficiency of capital use, speed up the flow of funds, and promote the competition between Internet finance and current mainstream finance, especially commercial banks, which will make the interest rate, the capital price, more timely and accurate. Reflecting the relationship between supply and demand of funds, and thus guiding the rational flow of funds. In the capital market, since the trading system and real-time quotation system fully adopt advanced computer technology and information technology, the stock price and its index have fully reflected the dynamic and timely characteristics, which is in line with the technical foundation of the Internet.

In the e-commerce model, the bidding mechanism based on the Internet platform is a good case. The borderless platform created by the Internet provides the optimal mechanism for bidding between many vendors and consumers as well as vendors. Here, the price is not bound by external forces, and all prices are the result of bidding between vendors, between consumers and vendors. The so-called integration of the Internet into the information flow, an important content is to promote the formation of competitive prices. This price formation mechanism is far more reasonable and transparent than the price formation mechanism under the traditional market structure. The Internet platform solves the problem of information asymmetry and cost constraint under the traditional market structure. Therefore, Internet finance not only further improves the traditional financial The function of “providing price information” also expands and enriches the meaning of this “price information”.

Fourth, the theoretical structure of Internet finance Internet finance has the theoretical basis of similar traditional finance, but also has its own unique theoretical structure.

Compared with traditional finance, Internet finance does not highlight financial organizations and financial institutions, but is a new financial format based on the more effective realization of financial functions. The basic theory is still financial function theory.

As before analysis, the emergence and vigorous development of Internet finance, on the one hand, makes the realization of financial functions more and more independent of specific financial organizations and financial institutions, and on the other hand, the efficiency of financial functions is greatly reduced while the cost is greatly reduced. The connotation of financial functions has been deepened, and the objects of financial services have been greatly expanded.

Regarding the improvement of the efficiency of financial functions, the first is to highlight the financial payment and settlement functions. The payment and settlement services provided by Internet finance are flexible, convenient, fast and secure, which is difficult to achieve by traditional financial payment settlement offices. Second, it is manifested in resource allocation or financing functions. The resource allocation function of the Internet finance or the financing service provided is a structural supplement to the traditional financial financing function, which more effectively solves the matching of certain specific fund supply and capital demand, and completes the difficulty under the traditional financial structure. The completion of certain specific supply and demand of funds makes the realization of financial resource allocation functions richer and more structured. Third, it is manifested in financial wealth management or risk management functions. Internet finance has realized the popularization of wealth management. This is obviously a subversion of the concept of wealth management in traditional financial wealth management, which greatly deepens and extends the connotation and extension of wealth management functions. Fourth, in the realization of other financial functions, Internet finance has either reduced costs, expanded its connotation, or improved efficiency.

It is generally believed that information asymmetry, market uncertainty and the resulting risk management needs are important reasons for the existence of financial intermediaries and the basis for the formation of financial intermediation theory. However, the characteristics of Internet finance are eroding the foundation on which financial intermediaries exist, so that financial intermediaries are experiencing the second “disintermediation” since the “disintermediation” of capital markets in historical evolution. If the capital market is the first push for “disintermediation” of finance, then Internet finance is the catalyst for the second “disintermediation” of finance. It is based on this understanding that the author always believes that Internet finance is a new financial format, that is, the third financial industry.

In Internet finance, information asymmetry has been improved more fundamentally. The Internet platform has the advantages of timely information release, rapid information exploration and powerful information flow integration capabilities, and effective processing of cloud data. In solving information asymmetry, Internet finance has taken a fundamental step forward compared with traditional finance. step. The economics and necessity of traditional financial intermediation have been seriously affected. The organizational form of financial intermediaries will also undergo important changes. It can be expected that the exploration and processing based on cloud data may be an important form of new financial intermediaries in the Internet finance era. This may be an important by-product of the second “disintermediation” of finance.

In the process of structural evolution of financial forms, the capital market is the first “disintermediation” of financial banks for commercial banks. The focus of disintermediation is on “resource allocation”, ie financing function. This "disintermediation" has promoted the transformation of the financial structure, and thus is undoubtedly a historic leap. The reason for the historical leap is that the first "disintermediation" of finance promoted the free flow and marketization of financial resources, promoted the formation of financial system risk pricing mechanism, and completed the information from point to point to point to point. The many-to-many transformation, from information closure to information disclosure, has transformed the role of fund owners from savers to investors, and has established a market mechanism for wealth growth.

However, due to factors such as information technology, the first "disintermediation" of finance is not complete. The implantation of the Internet platform is bound to promote the "secondary disintermediation" of finance. The first "disintermediation" of finance, from the phenomenon, seems to be to circumvent interest rate control, but its essence is the evolution of financial functions. It is the financial services provided by commercial banks that cannot satisfy the high-yield but high-risk of fund holders. Product demand. Similarly, Internet finance promotes “secondary disintermediation” of finance. Although it can also find some traces of circumvention, its essence is that the current financial system cannot meet the increasingly diversified demand for financial services.

The first "disintermediation" with finance is mainly to promote the marketization of financial activities. The financial "secondary disintermediation" promoted by Internet finance mainly solves the problem of financial efficiency and structural matching of financial services. The financial efficiency mentioned here is mainly manifested in flexibility, speed, low cost, relative security and information symmetry. The structural matching of financial services mainly refers to the extensiveness or inclusiveness of financial services. All of these problems are the first problems of financial “disintermediation” that have not been resolved or are not well resolved.

Credit is the core and cornerstone of finance and the lifeline of finance. Credit risk is the basic risk among the three major risks of traditional finance. How to assess credit ratings, how to observe, mitigate and hedge credit risks, there are relatively mature theories, techniques and methods in the current financial operation framework. Generally speaking, in the current credit rating theory and method, the merits and demerits of credit are usually closely related to the asset size, financial status, capital flow, personal status, income level, asset size, etc. of the enterprise. Or pledge is usually the main mechanism for mitigating risk. Here, credit is almost synonymous with income, wealth, reputation, and status. Internet finance based on cloud data fundamentally subverts the traditional financial definition of credit and the perspective of observing credit.

In fact, the credit status of economic entities (enterprises and individuals) must ultimately be reflected in their economic behavior, especially market transactions. In financial activities, financial trading behavior is the best test of the credit performance of economic entities. The cloud data generated by the Internet platform objectively describes the performance status and credit level of related transaction entities, and truly shows their business behavior trajectory. The credit observation results based on the mining, sorting and calculation of cloud data are obviously much more realistic, accurate and objective than the traditional “a priori” evaluation of credit. In this regard, Ali's low loan rate is a good example.

Therefore, Internet finance uses cloud data to observe the performance status of actual trading behaviors, and then judge the credit ability of relevant economic entities, which obviously promotes the connotation of credit theory. If the credit theory of hard indicators such as financial indicators and heavy asset indicators is the credit theory of industrial society, and then called the traditional credit theory, then the credit theory based on the large calculation of cloud data and focusing on observing the actual trading behavior trajectory is the Internet age. The credit theory, which in turn can also be called the new credit theory. The new credit theory is an important theoretical cornerstone for the existence and development of Internet finance.

In 2005, the United Nations proposed the concept of inclusive financial system, hoping to promote the establishment of a financial system that provides fair, convenient, safe and low-cost services to all members of all sectors of society. The essence of inclusive finance is to include all people who need financial services in the scope of financial services, so that everyone can get the appropriate financial services that match their needs. The inclusive financial concept should be the highest standard of financial services and the highest standard for measuring the fairness of a country's financial system.

After years of reform, China's financial system has made great achievements in many aspects, but some deep-seated structural problems are still quite serious, and there are obvious shortcomings in the breadth and depth of financial services. According to survey data, most households with credit needs in China can only be satisfied through private lending, and 3/4 of rural household borrowing relies on informal private channels (Southwest University of Finance and Economics China Family Finance Research and Research Center, 2014 ). Most small and micro enterprises have difficulty obtaining loans from formal financial channels.

In China, the allocation of funds in the financial system is more inclined to large and medium-sized enterprises, especially state-owned enterprises. The focus of wealth management is mainly on high-income groups, and the financial services of a large number of very active small and micro enterprises and low- and middle-income groups. Was seriously ignored. In this sense, China's current financial system is essentially a large corporate finance and wealthy financial. The serious imbalance of financial services has promoted the widening gap between the rich and the poor in society and deviated from the basic concept of inclusive finance.

Due to the constraints of business rules and operating platforms, traditional finance is difficult to achieve the concept of inclusiveness. Internet finance has effectively compensated for the inherent flaws of traditional finance. Based on the Internet and based on information integration and cloud data computing, it has created a new financial operation that is free, flexible, convenient, efficient, secure, low-cost, regardless of status, regardless of wealth, and everyone can participate. structure. Here, small and micro enterprises can obtain corresponding loans, low income groups can enjoy the joy brought by wealth management, consumers can experience the time efficiency brought by fast payment, and small and micro enterprises that need capital turnover can find handheld surplus funds but Investors who have no investment, although they may face higher risks than traditional finance. These enterprises and individuals, which have been neglected by traditional finance, have finally obtained appropriate financial services in Internet finance. For the first time, financial services have shed their reliance on identity, status, fame, wealth, and income. Obviously, it is a practice of inclusive financial concepts, and this is the source of strong vitality of Internet finance.

From discrete finance to continuous financial and financial instruments, it is the carrier of financial services. Traditional finance is essentially discrete finance. The most striking feature of discrete finance is that the service functions of almost all financial instruments are broken, or discrete, and they are functionally difficult or impossible to convert without cost. There is an artificial relationship between financial services or financial instruments. The huge gully, to cross this gap, consumers, financial needs, must pay the cost that should not be paid by them. These costs are part of the huge profits of traditional finance. The existence of these gullies is integrated with the internal structure of traditional finance.

In order to prevent risks, traditional finance usually sets up a lot of rules and regulations. As for how many efficiency losses are brought to customers by these many rules and regulations, how much cost is paid, usually not in the field of vision. Within the framework of the operation of traditional finance, it is certainly unobjectionable to set up many rules and regulations to prevent risks. However, when the huge efficiency losses caused by these rules and regulations greatly exceed the profits they have obtained, they have to reflect on the economics of their existence. Therefore, the traditional financial service characteristics of discrete finance not only often makes people feel inconvenient and rigid, but also have some self-interested tendency to maximize their own interests while disregarding the interests of customers. We must know that finance is profitable, but the essence of finance is not to pursue profit maximization. It is the highest state by pursuing the benefits of providing appropriate financial services to the society and pursuing the well-being and efficiency of the whole society. In this sense, traditional finance does deviate from the essence of finance.

Unlike traditional finance, Internet finance is a type of continuous finance. All of the innovations in Internet finance are derived from the needs of customers rather than primarily their own profits. Third-party payments, wealth management based on Internet financial platforms, and so on obviously have these characteristics. The tools of Internet finance can be freely and smoothly transformed, without obstacles, without gullies, or even without cost. This is why Internet finance has broad prospects for development in China. Continuous financial services are seamless, tools are automatically converted, reflecting the spirit of the Internet, that is, customer-oriented, creating value for customers, providing convenience to customers, and thus bringing efficiency to society. This of course does not mean that Internet finance does not require profits, but that the acquisition of such profits is based on the premise of the improvement of customer value. This is in line with the nature of finance. This theory and spirit of internet finance represents the future of finance.

V. Analysis of the characteristics of Internet finance risks and understanding the risks of Internet finance are the premise for formulating Internet financial supervision standards and an important basis for improving the effectiveness of supervision. Internet finance, as a product of the cross-border integration between the Internet and finance, has undergone major changes in its form, but its essence is still finance, which is like a car and a carriage are vehicles, although the external form is completely different. Therefore, Internet finance has similar operational risks, technical risks, credit risks, policy risks and liquidity risks as commercial banks, and there are also transparency risks similar to those of capital markets. The difference is that due to the fundamental changes in the operating platform and operational structure of Internet finance, the business form has genetic differences compared to current financial, so the form of risk also has its own characteristics. The risks of internet finance vary depending on their form or line of business.

The first part of this paper divides the form or line of Internet finance into the following four parts, namely, third-party payment, network financing, network investment, and online currency. Except for the online currency, the risks implied by the first three forms are actually quite different. These risks together constitute a realistic, diversified and complex type of Internet financial risk.

Payment is the basic function of finance. Third-party payment is the most core competitive function in Internet finance, and it is also the most challenging function for traditional finance. People often say that Internet finance has a subversive effect on traditional finance, and usually refers to the third-party payment function of Internet finance.

Third-party payment in Internet finance is usually divided into Internet payment and mobile payment according to the form of the terminal used.

Internet payments are based on personal computer (PC) terminals, and mobile payments are based on mobile phones and tablet mobile terminals. With the increasing popularity of mobile terminals, mobile payment is becoming a trend of third-party payment. Whether it is Internet payment or mobile payment, third-party payment has technical risks and operational risks, which is similar to the risk of traditional financial card payment. The technical risks of third-party payment mainly refer to the technical security and technical capacity of the trusted information system, hacker attacks, and theft of account funds.

The operational risk mentioned here refers to the operator's operational error. From the existing practice and case, we can't conclude that the technical risks and operational risks of third-party payment are higher than traditional finance, but how to improve the technical guarantee of third-party payment, increase its technical shield, and improve the operation. Flexibility, convenience and security are still important aspects of Internet finance risk prevention.

Internet financing in the concept of Internet finance refers to financing based on the Internet. There are three main forms of network financing defined in this paper: First, online loans based on platform customer information and cloud data. The basic form is small and micro enterprise loans and consumer loans.

The second is borrowing based on the P2P platform. P2P itself is a platform for connecting investors and financiers. Through this platform, personal-to-individual lending is achieved, as well as personal-to-business lending. The third is the crowdfunding model, which mainly uses the Internet to allow small businesses or individuals to showcase creative or entrepreneurial projects to obtain external financial support. The crowdfunding model usually has the form of debt-based crowdfunding and equity-based crowdfunding.

Internet loans based on platform customer information and cloud data in Internet finance have the same credit risk as traditional financial loans. The difference is that this kind of online loan without real-world counterparty is based on platform customer information and cloud data, focusing on the lender's behavior data rather than a priori qualification conditions. From the existing relevant data, the non-performing rate of network loans based on cloud data is not higher or even lower than that of commercial banks.

The risks of P2P platform financing are mainly reflected in three aspects: First, whether the borrower's information disclosure is sufficient, which is the biggest source of risk for P2P; second, there is no effective and sustainable risk hedging mechanism, and there is no similar to commercial banks. The loan risk provision mechanism, once the borrower has a large-scale default, there may be a “running” phenomenon; the third is the policy boundary risk. From a formal point of view, the P2P financing model is only one step away from illegal fundraising, if there is “ The pool of funds may present serious policy and legal risks.

There are two main forms: one is the fund provider of P2P and crowdfunding mode, and its investment income is expressed as interest, project or product return, equity and so on. The second is online money market funds, such as Yu'ebao. From the available data, the rate of return is significantly higher than that of commercial banks, even higher than the regular savings rate of commercial banks. It has the function of automatic connection with the payment system of Internet finance.

The investment risk of P2P loans mainly depends on whether the information disclosure of the borrower is sufficient, whether the enterprise or project operation status, and the risk hedging mechanism are available. The investment risk for the crowdfunding model is mainly focused on whether the project or product is profitable or has good market expectations. The risk of investing in online money market funds is mainly liquidity risk, but the risk is generally low because its underlying assets are mainly interbank deposits and liquid currency products with good liquidity. However, if such investment products and payment instruments are automatically converted, during the peak period of payment pulses (such as the 11.11 period per year), the possibility of liquidity risk is not ruled out.

In summary, the following preliminary judgments can be drawn: First, Internet finance is still financial in nature, and the risks implied by different forms are similar to those implied by existing commercial banks and capital markets; Internet finance is a new financial format based on “secondary disintermediation”. Its risk source has undergone some transformation or variability, and the types of risks are more complex.

In summary, the technical risks in third-party payment are more sensitive, and the pulse risk is more prominent; the credit risk in the network loan and the corresponding network investment is superimposed on the transparency risk, or the source of the credit risk is Transparency risk.

Highly sensitive technical risks and transparency risks as sources of risk generation may be the most important risks in Internet finance. How to build appropriate risk hedging mechanisms and maintain the sustainability of Internet financial financing functions is the future of Internet finance. A big problem facing.

VI. Internet Finance Regulatory Guidelines One of the important purposes of clarifying the types of risks and sources of risk is to develop appropriate regulatory guidelines. Whether it is a commercial bank or a capital market, the essence of its established regulatory standards is to try to hedge the potential risk of a commercial bank deposit reserve system, trying to hedge the infinite expansion of credit brought about by the infinite creation of money. The risk of hedging by the capital adequacy ratio is mainly to try to shrink the external financial negative effect caused by the rise of the non-performing asset ratio; the definition of deposit-loan ratio is an important valve for the security of commercial banks' asset size and structure; the provision coverage is the assets of commercial banks. The ex post compensation mechanism for risk; transparency is the cornerstone of the realization of the “three public” principle of the capital market. It can be seen that both the commercial banks in the first financial format and the capital markets in the second financial format, in order to maintain the normalization of operation, each has developed a set of regulatory guidelines that match its risk structure based on its own risk characteristics. . As the third financial industry, Internet finance must find and formulate regulatory guidelines that match the risk structure and effectively restrain or hedge risks. This set of regulatory standards for Internet finance is clearly different from the regulatory standards of commercial banks and is different from the regulatory standards for capital markets.

So, what are the regulatory standards for Internet finance? We believe that the cornerstone standard or core standard of Internet financial supervision standards is transparency. External standards or entry standards are platform technical security levels. The main purpose is to ensure the funds in the Internet financial system. Security, the truth of the information and the orderly operation.

From the perspective of business line form, Internet finance and commercial banks have similar functions. From the perspective of genetic matching, Internet finance is closer to the capital market. The “secondary disintermediation” of Internet finance points more to commercial banks, or Internet finance is mainly “re-disintermediation” of commercial banks after the capital market, and the “disintermediation” effect on capital markets is relatively weak. Capital markets that are limited to capital market trading are more similar. This is why the regulatory standards for Internet finance are closer in form to the capital market.

The transparency required by the capital market's cornerstone regulatory guidelines places more emphasis on the disclosure of information by listed companies. In contrast, the transparency required by Internet finance is more directed to the transparency of borrowers' information, which is the core responsibility of all Internet platforms and the most important basis for the orderly operation of Internet finance.

Technology security is another lifeline of Internet finance. If the borrower's sufficient information transparency is the core of the existence and development of Internet finance, then technological superiority and technical security are the external guarantees for the orderly operation of Internet finance. Therefore, the technical level requirements for the Internet platform are obviously an important standard for the development of Internet financial supervision.

Seventh, the alternative boundary of Internet finance The development trend of Internet finance is irreversible. Its cloud data, low cost, information flow integration, fast and high efficiency will undoubtedly bring traditional financial industry, especially the banking industry with higher return on assets. Come to a serious challenge.但是，应当清晰而客观地看到，这种挑战有的是带有颠覆性的、此长彼消式的竞争，具有替代性趋势；有的是彼岸相望、相互促进式的竞争，彼此难以替代。互联网金融与传统金融特别是商业银行的相互竞争，客观上会推动金融结构的变革和金融功能效率的提升，拓展金融服务的范围，推动金融产品的创新。

大体而言，互联网金融将在支付功能上具有明显的优势；在资源配置或融资领域，基于平台客户信息和云数据的网络贷款特别是小微贷款，亦具有较明显优势；P2P、众筹等模式由于满足了传统金融难以企及的客户群即所谓的长尾客户的融资需求，使金融服务的普惠性和结构化得到大幅提升，因而亦有较大空间；对非个性化资产管理，虽然受到感知认同某种程度的约束，但仍有一定的生存空间。在这些领域，互联网金融会在不同程度上挤压传统金融特别是商业银行的生长空间。面对这种蚕食式的竞争，传统金融特别是商业银行必须调整策略，广泛运用互联网技术，加快改革和创新，进而在客观上推动银行业的技术进步，加快互联网与金融的全面融合。

与互联网金融一样，商业银行显然有自身的比较优势，例如个性化服务、高度的专业性、较高的感知价值、对冲风险的能力、雄厚的资本实力以及线下大客户的垄断等。这些比较优势，使传统金融特别是商业银行在大额贷款、个性化财富管理、投资咨询、资源储备等方面有难以替代的优势。资本市场在财富管理、资产证券化等领域的地位则难以撼动。

在互联网金融的渗透、竞争和撞击下，中国金融将呈现如下基本趋势：现行金融模式和运行结构会发生巨大变革，金融功能的效率会大大提高，金融服务的结构化功能将不断完善，金融将从大企业金融、富人金融向普惠型金融转型。

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We are good at making the Floor Mounting Bracket,Wall Mount Bottle Bracket,Floor Rails Bracket,Trailer Wire Connector Bracket,Screen Rear Clamp Brackets,Flat T Bracket,Beach Pole Bracket,Gas Pipelines Mounted Brackets,Weathervane Floor Mounting Bracket.

Floor Mounting Bracket,Wall Mount Bottle Bracket,Floor Rails Bracket,Trailer Wire Connector Bracket,Screen Rear Clamp Brackets,Flat T Bracket,Beach Pole Bracket,Gas Pipelines Mounted Brackets,Weathervane Floor Mounting Bracket,Gridwall Mounting Brackets

MGX Metalworks Co., Ltd. , https://www.metalmgx.com