Fintech’s Application

China Financial Weekly Issue No. 2, 2019

At present, the world is ushering in a new round of scientific and technological revolution and industrial transformation. The booming informationization is driving the development of digital, network, and intelligent development in all areas of the economy and society, including the financial industry.

Fintech is playing an active role in serving the real economy, promoting inclusive finance, improving financial risk management, and promoting structural reforms in the financial supply side. Among them, four core technologies, namely AI, blockchain, cloud computing, and big data (collectively ABCD) is the main driving force for the vigorous development of fintech.

The boundaries between new technologies such as ABCD are steadily weakening, and these technologies are becoming more closely integrated in application. The integration trend will push fintech into a new stage of development.

While promoting the transformation of the financial industry, fintech often brings risks and and faces security challenges in the aspects of business, technology, networks, and data. Financial supervision needs to follow up in a timely manner, and even plan ahead to avoid complications.