China’s Internet finance industry has developed robustly at an amazing pace in the past few years, with many key indicators leading the world, such as the number of users and the market size. Fintech start-ups, as innovative business models and solutions, are mushrooming. Meanwhile, China’s Internet finance industry is greatly pursued by the capital market, and the valuation of related companies far exceeds other industries. In addition to the flourishing performance in the market, Internet finance is also having an overwhelming influence on people’s lifestyles.
The rise of China’s Internet finance is attributable to four external advantageous conditions:
1. An open, supportive regulatory environment
2. A highly developed Internet/e-Commerce business
3. Enormous demands for inclusive finance, which are not satisfied effectively yet, and
4. The trial-and-error capability built upon the long-term high profitability of traditional banking industry.
