ABSTRACT
As the network finance is developing, the supervision and research on network finance are also in infancy stage. Currently, the Basel Committee has not yet formed a relatively system and complete network banking supervision regime. Regulatory authorities in many countries have adopted quite a cautious attitude on network financial regulation, mainly on account of the coordination issue of innovation, competitiveness and supervision in the country’s financial industry. In fact, the network financial risk supervision and control still need to constantly explore in practice. Some countries’ regulatory authorities have set up special working organs or groups responsible for timely tracking, monitoring the developments of network financial industry, make some directive suggestions in due course and also develop some new regulatory rules and standards [1]. For example, definite network financial sector, including the network bank in the law. The European Bank Standards Committee defined network bank as those banks using the internet to provide banking products and services for consumers and SMEs, those who use computer, internet TV, set-top box and other personal digital device connect to the internet. The US OCC considers that network bank refers to some banking systems, by using these systems bank customers via personal computers or other intelligent devices can get access to the bank account, and obtain general banking products and services. Due to the strict legal definition of network bank has not yet appeared, at the same time network bank develops rapidly, therefore, the general practice is that according to the setting characteristics
of network banking institutions, divide them into branch network banks and pure network banks, then respectively define and manage. Meanwhile, some countries’ regulatory agencies, according to the development status of the network finance, revise the existing rules that formulate based on the financial institutions having actual business outlets and cannot extend to the network economy [2]. Such as some financial experts in the US, Germany begin to analyze the applicability of provision: “Basel Agreement” on commercial banks’ standard capital adequacy ratio 8% and other regulatory rules in regulating pure network banks, and suggest improvements. Overall, the supervisory mode of network bank in each country is still mainly based on the original division of supervision scope, but increases coordination among regulatory agencies, regulatory agencies with other government departments.
