Differences and similarities between Internet finance and traditional finance, to be more specific

The differences between Internet finance and traditional finance are: different drivers, different models and different governance mechanisms. Internet finance and traditional finance are to realize capital financing, payment, investment and information intermediary services.

I. Driving factors are different

1, Internet finance: Internet finance is data-driven demand, the customer's various structured information can become the source of marketing and the basis of risk control.

2, traditional finance: traditional finance is process-driven, focusing on direct face-to-face communication with customers, in the process of collecting information, establishing and controlling risks, and delivering services.

2, different modes

1, Internet finance: Internet finance using online to offline expansion mode, this model has a strong advantage in tapping customers.

2, traditional finance: traditional finance is offline to online expansion, efforts to make fuller use of the original foundation, to enhance the convenience of service.

Third, the governance mechanism is different

1, Internet finance: Internet finance is more market-oriented, through the development of transparent rules, the establishment of public supervision mechanism to win trust.

2, traditional finance: traditional finance requires governance mechanisms such as collateralized mortgage registration and post-loan management.