Research on the Regulatory System of Digital Currency under the Background of Digital Finance

Abstract

From the perspective of the composition of the world financial system, the emergence and development of digital finance are closely related to information technology, especially artificial intelligence, big data, blockchain, Internet of Things and other technologies, which have transformed the traditional financial system from a "credit" framework to a "data"-based digital financial business model. Digital currency lacks unified industry standards and mature policy supervision, and its advantages of no geographical restrictions and anonymity of transactions are easily seized by criminals and become an important way to escape investigation. Therefore, it is necessary to recognize the practical difficulties in the supply-side reform of the financial system, analyze its potential risks around the encrypted digital currency, and put forward regulatory suggestions from the perspective of improving the regulatory mechanism. In this regard, this paper analyzes the operating characteristics of various digital currency and the contingent risk factors in the development of digital currency. Combined with the operational characteristics of digital currency, the central bank of China, this paper constructs the supervision system of digital currency, and puts forward some supervision thoughts on digital financial products and blockchain risk management.