2021年11月27日

The first Digital Finance Anti-fraud Summit was successfully held in Tsinghua University

At present, the wave of digitization is on the rise. Financial technology innovation, represented by artificial intelligence, big data, cloud computing and blockchain, is driving the transformation and upgrading of the financial industry and unleaming infinite vitality. At the same time, the means of fraud for financial products are also constantly “mutating”. How to combat financial fraud under the premise of data protection standards? How to drive fintech innovation while ensuring data security?

On April 21st, the First Digital Finance Counterfraud Summit 2021 was held in School of Economics and Management of Tsinghua University. The summit was jointly hosted by China Financial Research Center of School of Economics and Management of Tsinghua University, Digital Finance Working Committee of Internet Society of China, Financial Digitization Development Alliance, UnionPay Data and Xinnet Bank. Top risk experts and practitioners of financial institutions from the domestic financial field gathered together and held heated discussions on the topics of “digital financial anti-fraud”, “security sharing of financial data”, “online risk control of financial business” and so on.

On the work of cracking down on financial crimes, the central government has issued various policies and achieved initial results. In response to the call of the central government, the summit is a spontaneous discussion organized by experts from the industry and academia, aiming at jointly discussing the ways to break the financial fraud and providing suggestions for the sound development of the financial market ecology.

Financial fraud requires the convergence of forces from all sectors

He Ping, director of the Department of Finance at the School of Economics and Management of Tsinghua University and director of the China Research Center for Economics and Management of Tsinghua University, said that in recent years, the integration of digital technology and finance is becoming an irreversible trend, and new models and new forms of business are emerging constantly. However, “where there is light, there is always a shadow”. With the development and upgrading of digital finance, various new financial fraud methods emerge one after another, which is not conducive to the benign development of the digital finance industry, but also has many negative effects on the traditional financial business.

On the one hand, it is imminent to crack down on financial fraud, on the other hand, data protection standards are increasingly rigorous. It is a “must answer” in front of financial institutions to take compliance data as spear and attack the shield of financial fraud. In this regard, Yang Chen, a telephone fraud expert of the Ministry of Public Security, an information expert of criminal investigation specially hired by the Ministry of Public Security, and the person in charge of the special class of capital breaking of the National Counterfraud Center of the Ministry of Public Security, provided suggestions for the risk control of the financial industry from the perspectives of before, during and after: Source control in advance, customer identification should be implemented, a set of risk control model for new crimes should be established in the process, and the accountability mechanism should be improved afterwards, so as to truly achieve the purpose of “learning from past mistakes to avoid future ones, curing the disease to save the patient”.

Yang Zaiping, chairman of Digital Finance Forum, founding secretary general of Asian Financial Cooperation Association and former full-time vice president of China Banking Association, pointed out, “If the story of finance is a story of technology, then anti-fraud has always been an important part of the story of technology. Digital finance must, of course, include anti-fraud technology, and it must constantly be able to break the mantra that “one foot higher, the other foot higher”. The solution is a complex system engineering, in terms of technology, it must include the standardization, digitalization, online, credit investigation, regionalization, sharing and intelligence of relevant financial transaction information.”

Wu Zhen, director of the Key Laboratory of Internet Financial Security Technology of the Ministry of Industry and Information Technology and secretary general of the Digital Finance Working Committee of the Internet Society of China, introduced the exploration of the team in financial anti-fraud and financial risk control, and elaborated the related research on financial risk control technology and anti-fraud technology based on big data. At present, the research work is being actively carried out, and the follow-up supporting work will continue to be carried out.

Xu Zhihua, vice president and chief risk officer of Xinnet Bank, shared some real fraud cases that Xinnet Bank encountered in the process of digital credit development from the perspective of business practice, and explained the technical solutions of Xinnet Bank in detail. In order to protect the security of customers’ accounts, New Net Bank uses the high-security live detection technology at the front end, and does multiple analysis and verification on the images at the back end. Artificial intelligence built based on the algorithm of cyclic neural network identifies whether each loan is in the state of telecom fraud, and then takes corresponding measures. “There are no problems that technology can’t solve, only problems that current technology can’t solve.” Xu Zhihua believes that the future needs to aggregate the strength of the whole industry, the use of more technology, jointly deal with the financial anti-fraud problem.

In order to solve the above industry pain points, the new net bank hand in hand with UnionPay data to jointly put forward a real-time multi-head alliance scheme. The alliance aims to jointly build and share a real-time multi-head platform of security compliance and complementary advantages with peer institutions: through multi-party secure computing technology, common debt information can be safely shared without the user’s private data being sent out of the warehouse, and it focuses on providing new solutions for financial fraud.

The Real-Time Long Platform is a pilot application project of Fintech innovation regulation under the guidance of regulation, which was officially launched on November 6, 2020. Since its launch, the platform has been awarded the “2020 Financial Technology Product Innovation Outstanding Contribution Award” and “2020 Privacy Computing Outstanding Case”. At present, there are more than 100 financial institutions using the platform, and more than 30 institutions are under negotiation. The average daily calculation times of the platform exceeds 600,000, and the average daily key generation number of the platform exceeds 100,000.

Hong Yucao, vice president of UnionPay, said that UnionPay has been deeply involved in the outsourcing market of credit card issuance for 18 years, and has deeply understood the urgent need of the financial industry to strengthen risk data sharing under the premise of legal compliance and information security protection. Last November, UnionPay, together with 202 industrial parties including banking financial institutions, consumer financial institutions, fintech companies, consulting companies, industry associations and industry chain enterprises, jointly initiated and established the “Financial Digitization Development Alliance”. For the service of many members of the unit information sharing, the risk control requirement, unionpay data alliance member unit, build new bank letter jinke hand in hand, rong number information respectively to explore the construction to prevent customers real-time long lending as the goal of real-time sharing platform, long chain letter au on the blacklist, and aimed at the bad assets disposal collection platform, We will actively promote the establishment of a cross-agency and cross-industry mechanism for joint risk prevention and control.

Everbright bank information analysis and service, deputy director of the Ministry of Science and Technology data keline share the everbright bank in big data practice some progress and innovation thinking, return to the origin of service economy, keep technology and safety operation of the bottom line, on the premise of comply with national laws and regulations, continuous improvement internally, keep up with business technology development trend.

Realize the innovation of data security sharing from the technical level

Li Xiusheng, vice president and chief information officer of New Net Bank, said that in recent years, with the development of Internet technology and artificial intelligence, the degree of online financial business has grown rapidly, and the epidemic further promoted the process of paperless commercial banks last year. Among them, providing contactless service for customers depends more on the application ability of financial institutions to data. As financial services are closely connected with user data in the Internet era, data security and privacy protection have become an unavoidable issue in the process of fintech innovation. The Civil Code of the People’s Republic of China even raises the protection of privacy and personal information to an unprecedented height. To combat Internet financial fraud, we should also pay attention to whether excessive collection of consumer data, abuse of consumer data, illegal data sharing and other situations. Under these new circumstances, how to achieve safe, compliant and effective sharing has become the focus of heated discussion among the participants.

Jia Fengjun, deputy general manager of the direct banking business department of Minsheng Bank, said that under the current situation, commercial banks are in urgent need of improving their scientific and technological capabilities in big data, doing a good job in joint prevention and control, and further sharing technology, data and experience to provide customers with more comprehensive financial services.

Zhu Zhengxiang, general manager of Bank of Nanjing Digital Inclusiveness, explained how to systematically integrate multi-party security computing technology into the systematic construction of digital financial risk control from the practical level. He also proposed some problems about alliance learning and the weakening of multi-party security computing for in-depth discussion of the participants.

As for data security sharing in financial scenarios, Liu Liyue, head of risk in Retail Business Department of Bank of Shanghai, summed up four principles, including respecting privacy in legal compliance, classifying policies and hierarchical management, availability and visibility, and minimizing principles, so as to achieve full link complete management, and then achieve data security sharing.

Xu zhihua, vice president of new net bank and chief risk officer, vividly demonstrated the multi-party security calculation principle for everyone. The vivid and interesting case made the profound principle easy to understand. The “real-time multi-head” sharing platform released by Xinnet Bank and UnionPay is mainly based on the principle of multi-party secure computing. Through secret sharing and hidden query methods, the platform members can realize real-time information exchange and provide a “tracker” for multi-head lending while solving data security problems. At present, Xinnet Bank and UnionPay data have completed the preliminary system architecture, and some financial institutions have participated and started the “internal test”. With the increase of platform members in the future, more financial institutions will benefit from the platform and solve the common problems of multiple lending and other industries.

Online financial business puts forward new requirements for financial risk control

Nowadays, the financial operation mode has changed from offline to online, the approval cycle has changed from long period to second loan approval, and the approval method has changed from manual approval to big data risk control. The whole logic of financial risk control is inevitably required to adapt to these changes.

For the auto finance, gac hui Richard CRO once and share the shift from the traditional pattern of offline to online to develop after the changes, “after the outbreak last year, is more obvious trend of online”, he says, to prevent fraud in the field of auto financing, on the one hand, want to rely on the judicial power, the fraud at the end of the chain, On the other hand, the chain of fraud should be cut off from the source through the use of new technologies, supplemented by effective compliance sharing of data.

In the process of the second batch of second loan, apply for a shorter time also brought considerable challenge to financial risk control, xiamen international bank risk management department Lu Xu pointed out that the biggest risk control problem in the process of the tightly around the anti-fraud, commercial Banks need to control cost and does not affect the premise of the business, enhance iterative own risk control ability to cope with new challenges.

Sheng bank consumer finance CRO Zheng Hongzhou in-depth analysis of the risk of malicious long, he believes that with the development of their own business, the need to make appropriate adjustments, to obtain more accurate and effective long data.

Ye Daqing, CEO of Rong360, combined with his professional experience at home and abroad, shared his views on the new service mode and operation mode of small and micro businesses derived from data security sharing. (Above photo provided to China.org.cn Finance by Xinnet Bank)

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