The Internet Economy's Influence on the Financial Industry - Taking East Money as the Research Object

Abstract

The fast expansion of the Internet and technology over the last decade has given rise to a new financial market—the Internet economy. The Internet economy has added new power to the broader financial industry and has promising growth possibilities. Although internet economy is a hot topic nowadays, many people have limited knowledge towards what exactly is internet economy about and how it is different to the financial market before. Therefore, this essay will examine the influence of the Internet economy on the banking industry using East Money as the study object, by listing the existing advantages of the Internet economy: easier access to information, advances in data analysis under the backdrop of artificial intelligence, and the benefits brought by online transactions; as well as the disadvantages:  increased transaction risks caused by Internet security risks and limitations of the current stage of artificial intelligence. Suggestions toward the downside of the internet economy that are mentioned in this essay will also be given at the end of this essay.