the so-called online finance, also known as e-finance, refers to the financial activities realized on the internet based on the achievements of financial electronization, including online financial institutions, online financial transactions, online financial markets and online financial supervision. In a narrow sense, it refers to the financial services carried out on the Internet, including online banking, internet securities, online insurance and other financial services and related contents; In a broad sense, network finance is the general name of all financial activities around the world supported by network technology, which includes not only narrow content, but also network financial security, network financial supervision and many other aspects. . It is different from the traditional financial activities that exist in physical form, and it is a financial activity that exists in electronic space. Its existence form is virtualized and its operation mode is networked. It is the product of the rapid development of information technology, especially Internet technology, and it is a financial operation mode in the network era to meet the needs of the development of e- commerce.
definition
the so-called online finance, also known as e-finance, refers to the financial activities realized on the internet based on the achievements of financial electronization, including online financial institutions, online financial transactions, online financial markets and online financial supervision. In a narrow sense, it refers to the financial services carried out on the Internet, including online banking, internet securities, online insurance and other financial services and related contents; In a broad sense, network finance is the general name of all financial activities around the world supported by network technology, which includes not only narrow content, but also network financial security, network financial supervision and many other aspects. . It is different from the traditional financial activities that exist in physical form, and it is a financial activity that exists in electronic space. Its existence form is virtualized and its operation mode is networked. It is the product of the rapid development of information technology, especially Internet technology, and it is a financial operation mode in the network era to meet the needs of the development of e-commerce.
characteristic business innovation
the customer-centric nature of online finance determines its innovative characteristics. In order to meet the needs of customers, expand market share and enhance competitive strength, online finance must carry out business innovation. This kind of innovation is happening in all fields of finance. For example, in the field of credit business, banks use the software of Search
Engine on the Internet to provide customers with consumer credit, mortgage credit, credit card credit and automobile consumer credit services that suit their personal needs. In the field of payment services, the new electronic bill presentation payment service
(EBPP) manages various bills (insurance bills, bills, mortgage bills, credit card bills, etc.) by integrating information systems. In the capital market, electronic communication networks (ECNs) provide a platform for market participation to directly exchange information and conduct financial transactions through computer networks. With ECNs, buyers and sellers can communicate with each other through computers to find the objects of transactions, thus effectively eliminating traditional financial intermediaries such as brokers and dealers and greatly reducing transaction costs.
management innovation
management innovation includes two aspects: on the one hand, financial institutions give up the past strategic management idea of expanding their business with the strength of a single institution, and pay full attention to business cooperation with other financial institutions, information technology service providers, information service providers, e-commerce websites, etc., so as to achieve a win-win situation in market competition. On the other hand, the internal management of online financial institutions tends to be networked, and the vertical bureaucratic management mode under the traditional business model will be replaced by a networked flat organizational structure.
market innovation
due to the rapid development of network technology, the financial market itself has begun to innovate. On the one hand, in order to meet the needs of customers' global transactions and the new competition pattern in the online world, financial markets began to move towards international integration, such as the merger of London Stock Exchange and Frankfurt Stock Exchange in April 2. On the other hand, under the pressure of competition, some stock exchanges are making strategies to change into listed companies, because as publicly listed companies, exchanges will be able to use stock funds to establish strategic partnerships and alliances with other exchanges, issuers, investors and market participants in a more creative way.
Regulatory innovation
Due to the development of information technology, online financial supervision is characterized by liberalization and international cooperation. On the one hand, the traditional financial supervision policy of separating operation and preventing monopoly in the past has been replaced by a new model of market opening, business integration and organization collectivization. On the other hand, with the increasing cross-border financial transactions on the Internet, a country's financial supervision department can no longer fully control its own financial market activities. Therefore, international financial supervision cooperation has become a new feature of supervision in the era of network finance.
Risk
In a sense, the rise of network finance makes the financial industry more fragile, and the risks brought by network finance can be roughly divided into two categories: technical risks caused by network information technology and economic risks caused by network financial business characteristics.
the first is liquidity risk. In recent
years, the products of "third-party payment plus fund" have emerged continuously, such as Yu 'ebao, but there are also risks of maturity mismatch, currency market fluctuation and large-scale redemption by investors.
the second is credit risk. Because the online behavior of "brushing credit" and "changing evaluation" still exists, the authenticity and reliability of network data will be affected. In addition, the departmental Internet platform lacks long-term data accumulation, and the scientific nature of the risk measurement model needs to be verified. Therefore, in the field of Internet finance, information asymmetry still exists. In 213, there were more than 35 active P2P platforms, and the cumulative transaction volume in the whole year exceeded 6 billion yuan. However, some platforms ran away with money.
third, reputation risk. Some Internet organizations use the so-called "expected high returns" to attract consumers and launch products with high returns but also risks, but they do not reveal the risks truthfully and even mislead consumers.
the fourth is the risk of information leakage. Yan Qingmin said that one of the major foundations of Internet finance is to conduct data mining and analysis on the basis of big data and analyze customer behavior, but at the same time it also poses a huge challenge to the protection of customer information and transaction records. Some trading platforms have not established a perfect mechanism to protect customer information.
the fifth is technical securITy risk, that is, it system security risk. Because Internet finance relies on computer networks, the defects of the network system itself, management loopholes, computer viruses, hacker attacks, etc. will all cause technical security risks.
To sum up, there is no essential difference between the economic risks of network finance and traditional finance, but because network finance is based on network information technology, it broadens the connotation and manifestations of traditional financial risks:
1. The security risks of the technical support system of network finance become the basic risks of network finance;
2. Network finance has a special risk form of technology choice;
3. Because of the fast transmission of network information and no limitation of time and space, network finance will amplify the traditional financial risks in the occurrence degree and scope of action.
Problems
1. Low level of operation
First, there is no pure online financial institution, and the existing online business is not large. The existence of pure online financial institutions is one of the criteria to judge the development level of online finance in a country. There is no pure online financial institution in China, and online services are mostly provided through financial institutions' own websites and webpages, with limited business scale, low income level and basically at a loss;
second, online financial services have obvious primary characteristics. Most of China's online financial products and services simply "move" traditional business online, and regard the network as a sales method or channel, ignoring the innovation potential of online financial products and services;
Third, the development of online finance is unbalanced. The degree of networking of banking and securities industry is much higher than that of insurance and trust industry. This structural imbalance not only affects the overall promotion of online finance, but also may affect the stability and healthy development of online finance.
2. Failure to make effective unified planning
Due to the lack of macro-planning for the development of online finance in China, financial institutions not only go their own way in the selection of development mode, investment in electronic equipment and network construction, but also keep each other secret and defend each other, resulting in the waste of information, technology and funds and the deformity of internal structure, which is not only unfavorable to the development of online finance, but also may bury the unstable factors of the financial industry.
3. Lagging legislation
First, compared with developed countries in market economy, China's online finance legislation lags behind. In the 199s, the United States promulgated the Digital Signature Law and the Uniform Electronic Transaction Law, which solved the legal problems of electronic signature and electronic payment. The Electronic Communications Act, which came into effect in May 2, also confirmed the legal status of electronic signatures and electronic certificates, clearing the way for the development of online finance. There are very few such laws in China, only the Interim Measures for the Administration of Online Securities Entrusting, the Procedures for the Approval of Online Entrusting Business of Securities Companies, and the Regulations on Encouraging the Use of INTERNET for Trading, and only a small part of online securities business is involved. It was not until July 9, 21 that the People's Bank of China promulgated the Interim Measures for the Management of Online Banking. The regulations of this department are too simple, there are almost no quantitative standards, and the operability is poor;
Second, compared with the sound legal system of traditional financial business, the legislation of online finance is also lagging behind. In the face of the development of network finance and the arrival of electronic money era, it is necessary to further study the revision and improvement of the current financial legislative framework, and appropriately adjust the existing supervision and regulation methods of the financial industry, so as to play its role of regulation and protection and promote the positive and steady development of network finance.
4. Lack of patent awareness
With foreign financial institutions joining the competition of online finance in China, the weakness of Chinese financial institutions is emerging, which is not only a technical problem, but also a consciousness problem. Since 1996, Citibank has applied for 19 "business method" invention patents from China National Patent Office, most of which are financial services and system methods developed in cooperation with emerging network technologies or electronic technologies. The purpose is to control the core technology of e-banking and establish the leading position of online banking. Although China has not approved any of the patents it applied for, according to the principle of "application first, authorization first" in patent application, once China has passed relevant laws and allowed to apply for such patents, Chinese banks will face difficulties in entering some markets, either paying higher patent fees, or being forced to withdraw, or even having to pay fines. Even if China doesn't authorize such patents, Chinese banks will have to face the patent barriers of Citigroup when they enter the United States or other international markets. As of 21, among the 64 American patents obtained by Citibank, business method patents related to online banking accounted for 2/3. However, Chinese financial institutions have no concept of patent protection for financial products, let alone formulate relevant patent strategies.
5. Institutional obstacles are not conducive to deepening development
The strict separate operation system implemented in China may reduce the risk of the whole system, but financial institutions cannot spread their own risks through diversified operations, and the separate operation system has divided the business scope of various online finance industries from the beginning, weakening their development potential and affecting or even inhibiting the evolution of online finance in China. In addition, financial consumers can't enjoy all-round financial services brought by "online financial supermarket", which also causes huge losses in the effectiveness of online finance.
The Internet Finance Corporate Social Responsibility Self-discipline Alliance, recently hosted by Xinhuanet, "Looking forward to 215? The annual summit on corporate social responsibility of Internet finance was announced, and a white paper on corporate social responsibility report of Internet finance was released.
At present, with the development of big data, cloud computing, social network and communication technology, the innovation and development of Internet finance in China is diversified. The healthy development of Internet finance requires not only innovation, but also supervision and self-discipline. In order to guide Internet finance enterprises to effectively fulfill their corporate social responsibilities, the project of "Self-discipline Alliance of Internet Finance Enterprises' Social Responsibility and White Paper on Internet Finance Enterprises' Social Responsibility Report" was launched at the summit. And released the "214 Internet Finance Network Public Opinion Attention Ranking" and "214 Internet Finance Online Platform User Experience Satisfaction Survey Report".
countermeasures
1. establish the strategy of parallel development of traditional finance and network finance.
2. Establish a special guidance and management organization.
3. Accelerate the legislation of online finance.
4. Cultivate compound financial talents.
5. Reform the separate management system.