Internet finance development history

China's Internet finance can be roughly divided into three stages of development. The first stage is the Internet stage of the traditional financial industry from the 1990s to 2005; the second stage is the booming development of third-party payment around 2005-2011; and the third stage is the development stage of substantial financial business on the Internet since 2011. In the process of the development of Internet finance, domestic Internet finance presents a variety of business models and operational mechanisms.

Internet finance

1. Internet finance is an emerging field combining the traditional financial industry with the spirit of the Internet. In a broad sense, any financial industry with the spirit of the Internet is collectively referred to as Internet finance. From a narrow financial point of view, it should be defined in relation to the circulation of money credit level, that is, the way of capital financing relying on the Internet to realize the method. Modern information technology represented by the Internet, especially mobile payment, cloud computing, social networks and search engines, will have a fundamental impact on the human financial model. The Internet financial model will become mainstream in the next 20 years. Theoretically, any Internet application involving finance in the broad sense should be Internet finance, and Internet finance is in a period of rapid development, and now possesses six major Internet financial models, such as third-party payment, P2P lending, big data finance, crowdfunding, information-based financial institutions, and Internet financial portals.

2, Internet finance (IT FIN) refers to the traditional financial institutions and Internet enterprises using Internet technology and information and communication technology in the funds to achieve financing, payment, investment and information intermediary services, a new financial business model. Internet finance is a traditional financial institutions and Internet enterprises (hereinafter referred to as practitioners) using Internet technology and information and communication technology in the funds to achieve financing, payment, investment and information intermediary services of a new financial business model, the deep integration of the Internet and finance is the trend, will have a more far-reaching impact on the financial products, business, organization and services.

3. Internet finance has played an irreplaceable and positive role in promoting the development of small and micro-enterprises and expanding employment, and has opened the door for mass entrepreneurship and innovation. Promoting the healthy development of Internet finance is conducive to improving the quality and efficiency of financial services, deepening financial reform, promoting the development of financial innovation, expanding the opening up of the financial industry and building a multi-level financial system. As a new thing, Internet finance needs both market-driven to encourage innovation and policy assistance to promote development.