The Influence Of Internet Finance On Commercial Banks’ Income And Risk

Since the beginning of the 21st century,Internet finance has stepped on the stage of historical development,and it has a profound impact on life.Affected by this factor,many financial products have stepped onto the stage of the financial field.Such as third-party platform payment,crowdfunding,etc.They have a profound impact on people’s daily life through their unique way of consumption.As far as Internet finance is concerned,compared with the traditional financial model,it has many advantages,such as extremely wide coverage,low cost and high efficiency,so it has been favored by the majority of consumers.Influenced by this factor,the traditional financial industry is gradually transforming its financial model to better adapt to the rapid development of the financial industry.From the development of China’s commercial banks,in-depth study of Internet finance will have a positive impact on the improvement of its income and the prevention of risks.With the development of the 21st century,such research can better promote its transformation and rapid development.This paper takes commercial banks as the research object.Firstly,this paper studies from the theoretical point of view.Based on the relevant literature at home and abroad,the paper sorts out the related concepts of Internet Finance and commercial banks.On this basis,based on the analysis of traditional finance,combined with the characteristics of Internet finance,this paper reveals the correlation between the two.At the same time,it is summarized.On this basis,combined with functional finance theory,long tail theory and other aspects of knowledge,taking commercial banks as the object,this paper reveals the impact of Internet Finance on its assets,intermediary business and income,etc.,and studies in the process of practical research.Taking 28 commercial banks as the research object,this paper conducts a corroborative study on the relevant data from 2007 to 2019.On the basis of the research,it is found that the impact of Internet Finance on the income of commercial banks shows the development trend of first rising and then falling.From the perspective of the impact on the risk of commercial banks,the development trend is the same.In addition,the differences between the types of banks are also different under the impact of Internet finance.