The Research On The Influence Of Internet Banking Innovation On Traditional Finance Development

Along with the popularization and widespread use of the Internet, the innovative pattern integrating financial products and Internet platforms has emerged and developed rapidly.Online banking,Third-party payment,peer-to-peer lending,crowd funding and other innovative financial businesses are booming in our country, thus a new financial model has appeared--the Internet Banking. Its emergence has caused some influence on traditional financial industry including banks, stocks, insurance, funds etc. In the future, with the continuous growth of Internet banking, there will be a fierce competition between Internet banking and traditional financial organizations, which will even change the business mode and operation pattern of traditional financial industry.In the last two years’ government work report, the healthy development of Internet Banking have been specially mentioned, which indicates that China’s top decision makers have already taken it into their account. In 2015, “Internet Plus” action plan was put forward to integrate the mobile Internet, big data, the Internet of Things, cloud computing with modern manufacturing, to encourage the healthy development of e-commerce, Internet banking and industrial networks and to guide Internet-based companies to increase their presence in the Internet market. This is beyond doubt an exciting news for the Internet banking industry. However, relative research on internet banking is still behind the time,hence this research has its strong theoretical as well as practical significance.First, this paper reviews the research achievements in internet banking of both domestic and overseas scholars and clarifies the reason why it emerges as the times require and the theoretical and technological basis supporting its development. Second, it analyzes innovative points of Internet banking products in trade and investment. Third this paper presents Internet banking’s impacts and influences on traditional finance. Fourth, from the view of monetary capital, it empirically analyzes the influences that the innovative development of Internet banking has brought to traditional finance industry. In the end, this article presents suggestions on relevant policies of supervision over Internet banking and measures that traditional financial industry shall take to face up to challenges under the new circumstance. It is hoped that this article can provide some reference value to playing respective advantages ofInternet banking and traditional financial industry, assisting development of small and medium-sized enterprises, supporting the real economy, increasing employment, and promoting our national economy to grow sound and fast.