Soul Htite Discussed the Meaning of "Internet Plus" at the Boao Forum for Asia (BFA)
28 Apr, 2015, 08:00 ET
BOAO, China, April 28, 2015 /PRNewswire/ -- The "Internet Plus" strategy first proposed by Senior Chinese Leaders in the Report on the Work of the Government 2015 has gained popularity and was undoubtedly a hot topic of discussion at the recent Boao Forum for Asia (BFA) 2015 Annual Conference.
So what is "Internet Plus"? What does it actually mean?
Soul Htite, founder and CEO of Dianrong.com, was recently invited to the Forum where he shared his latest opinions on "Internet Plus." Not only is he the founder of Dianrong.com, but he also co-founded Lending Club,the world's first listed P2P lending platform. As a global Internet finance forerunner, Soul has a profound understanding of "Internet Plus."
1. Innovation is great, but it also means more responsibility
Host: In March of this year, Senior Chinese Leaders proposed the "Internet Plus" policy to encourage innovation in China's Internet industry. What do you think it will mean for Internet finance? What opportunities or risks will it entail?
Soul Htite commented "In fact, when it comes to "Internet Plus", it is just as if we were to constantly persuade a traditional enterprise to pursue an advanced level of management. "Internet Plus" means more innovative technology and an Internet-based way of thinking. We often communicate with traditional enterprises, so with the launch of this policy, it has given us a great awareness and reason for us to show people that the Internet does not only influence one or two companies, but rather the industry as a whole. As far as I'm concerned, the 'Internet Plus' policy is a huge wager on the future. We can see that in the past 10 to 15 years, the leverage of technology and modern management tools has been the core of a country's rapid development. I also believe that this trend will continue into the future."
"Of course, it comes with risks, or rather, the word 'responsibilities' may be more appropriate. Internet technology enables more and more companies to innovate. This progress of innovation is what we need to build new kinds of enterprises. However, innovation should be realized through a right approach. Take Dianrong.com for example. People trust us, so they invest money on our platform and believe in our risk control management. Another important point is that they feel trusted when giving us their personal information.When it comes to Internet-based finance, it is imperative that we ensure the security and confidentiality of their information and provide our operation information with complete transparency. We must abide by the law."
"Now that regulators are witnessing our growth, little by little, they will see a variety of business models before the final regulatory policy can be issued. As such, it is also our responsibility to show regulators and the public that we are ready to face the risks and to take appropriate responsibility."
2. Big Data is new for the world over
When asked, "You just mentioned regulators/policymakers, but interestingly, Big Data is considerably new in China and related policies are still being drafted. What do you expect for the future?"
Soul Htite responded, "Big Data is not only new for China, but it is new the world over, even for Europe and the US. Everyone is learning how to better leverage this powerful tool so as to bring in more benefits. Policymakers will often consider how to protect consumers, which is right. We should constantly develop our economy and encourage the emergence of new products. Ultimately, however, these efforts are made to better serve the people. Therefore, it is rather important to protect consumers. Also, that is why there are always people arguing as to what extent we control and regulate. This happens everywhere, not just in China."
3. There is no country more suitable than China for the development of the Internet industry
When asked, "We know that you come from the biggest P2P lending platform, but actually you never lived in China before establishing Dianrong.com. So why did you come to China to establish your new career?"
Soul Htite answered, "That's right. We founded Lending Club in 2007, and the company was already burgeoning by 2008. That was the year of the financial crisis. Many people and companies were looking for organizations to help them with their financial troubles. Traditional organizations couldn't help them."
"There are three reasons why we established Dianrong.com. Actually, you can look around the world and find few countries with such a healthy environment for P2P lending like China."
"(1) China has a sound legal system. In China, if you borrow money from someone, you have to repay it. This is very important for us."
"(2) China has a high Internet penetration rate. China's total netizen population has reached 600 million and is still growing rapidly."
"(3) We found that China has an amazing talent pool, and this is indeed a necessity for the development of a P2P business. Take Dianrong.com for example. Whether it's our management team or our operating team, they're all super stars. This condition is the same as if you were to set up a company like this in Silicon Valley."
"Of course, we're now considering expanding our business globally. Soon, we will establish ourselves in Singapore and many other regions around the world. We want to expand overseas like Huawei, ZTE and other large companies."
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