I am pleased to have the opportunity today to share some of the past experiences and views of online finance in terms of public fundingSmesThe provision of one-stop internet-based financial services, ranging from p2p to mass financing, including basic payment services and mail services, has been good since its inception last year, and p2p has just spoken a lot, and today has taken some time to share information on this issue. It's a relatively different industryChinaIf you look at internet finance in the past, especially from the beginning of last year until this year, when many people talk about internet finance splits, it may be the earliest time to pay, and we started paying 10 years ago。
P2p has been on line from the earliest line from p2p to the first line for six or more years. This industry has just begun in china, where it started two or three years ago, and where it is known that there are so-called models or successful cases, that is, the last year or two. Our two platforms, the original web of people, are shared with you today. We believe that crowd funding may be a great opportunity for china, and that, although the industry is young, it will grow very rapidly. It is not just about money, it solves a lot of problems and changes business patterns, for many industries. The history of mobilisation was in fact a long time ago, when a lot of people, through mass fund-raising, did something, from the statue of liberty to some recent websites, including the originals。
Our move in the united states has been instrumental in raising awareness of the development of the industry, especially regulation, which the president of the council has devoted to, and which demands a lot of regulation, and which we very much hope will come to the ground as soon as possible. As the crowd has just said, not only raising money, but also seeing start-ups, which we serve as entrepreneurs, and which, for start-ups, is not just getting money, it can find potential users, the first seed users, not only asset support, feedback on start-ups and branding, and even other people, who can leverage resources, propaganda on your brand, and offline resources, and so on, and so on. We can have public goods, rewards, equity, bonds, depending on what you pay for, and bonds will be on the p2p side of china, because it's different, and we have dedicated teams on the other web pages. Incentives include public goods, including equity。
We will refer to last year's world bank report, which provides a summary and forecast of the state and development of this sector in the world. At present, the sector is mainly abroad. In terms of financing, we see that the bulk of the financing is still in the united states, europe, australia, etc., and that china's financing is relatively small, but, according to last year's world bank report, china's whole industry is very large. After 20 years, it is projected to reach $100 billion, which includes a variety of types of incentives, equity and public goods, and specifically mentions that china's forecast here is about half a billion dollars in market availability in china. Its judgement is based on china's large number of small and medium-sized enterprises, and a large number of entrepreneurs. For china, based on the experience of our network, including the original sinks, in the past year or so, both the number of projects, the number of financiers, and the amount of transactions are growing rapidly. Of course, the volume of transactions is actually small in relation to p2p. We now have more than 5,000 projects, with a cumulative total of rmb 60 million, which may be a day-to-day deal compared to the p2p platform, but the number of projects is much larger, with hundreds of thousands of people supporting it, so this is the earliest support for the project's sponsors. We are in the lead in both trade and fund-raising。
For china, crowd financing is an opportunity to catch up with developed countries in terms of financial services. This chart has a similar picture of the ppt, whose triangle is upside down, based on the number of firms that may be involved, the different levels of capital markets, from the main to the third and the third floors, the bottom floor of which we do not know, but we hope that it will be some form of crowd-sourced or crowd-financed financing for a large number of micro-entrepreneurs. Data were released a few weeks ago, and china’s 9. 2 million newly registered businesses between january and october, an increase of 60 per cent, may well be 10 per cent or less of which will eventually be able to market via capital markets, whether they be entrepreneurship boards or new boards. The vast majority of businesses are actually in first-hand financing needs, and second, they are less likely to have direct access to finance. We believe that this means includes p2p being able to provide them with timely and effective support, and that this amount is not very large. From our online experience, the average amount of funding may be only 12,000, and for a short period of time, and he can use this $20,000 to expand the project from 0 to 1. This is a more normal amount. This amount of $1 or 2 million can sustain production for about half a year, which is a very useful or rare opportunity for small and medium enterprises (smes) in large numbers。
This model, which is in fact different from the one used by electricians or conglomerates and so on, is a direct connection between users and businesses, who are involved in the design, production and even promotion of products from the very first day of the product. Rather than producing the product on the basis of imagination, enterprises produce it on the basis of the actual needs of the user and even on the basis of an order, because the industry is so small that it will take a long time for the industry to develop, but we will see that the relationship between the user and the enterprise has somewhat redefined many of the business processes, including the distribution of its value chain, and we will see that in certain areas, such as cultural creativity, technology and so on, the way in which public financing has actually begun to build on the already distributed values。
Finally, some of the things we may have done in the past year or how we have allowed this model to be better landed in china. The first is policy, whether it be equity or whatever, where you need the most attention, including commodities. What can be done, what cannot be done, what information needs to be disclosed, what is the threshold for investors and what needs protection. We have a great deal of communication with the regulatory and related bodies, and we have a great deal of guidance in that regard, and what exactly is possible under the existing legal framework. Second, internet technology is a user experience, a whole process, because you happen online, how to secure the funds, how to ensure the true identity of the users, how to avoid making false statements, and how to avoid the possibility that unqualified investors might be involved in projects that would not be sustainable, which is a lot of work to be done, for anyone who is going to be in the public sector or for the public. Thirdly, the innovation of doing models, in terms of the characteristics of different industries, including stars and technology, we have done a great deal of offline activity, and we have created a lot of interesting cases, and time constraints are no longer examples, and i believe will continue to occur. Because the industry needs more people to understand, more people to be involved, innovation is essential here, and i believe that in the future, two or three years will likely be spent in china that is really well known to more people, and that together we need to make this market better。
Thank you。
