DIANRONG SELECTED AS ONE OF KPMG CHINA’S TOP 50 FINANCIAL TECHNOLOGY COMPANIES

September 28, 2016 Industrial Mech

On 19 September in Beijing, KPMG, one of the big four global accounting firms, published a report on China’s top 50 financial technology companies. Dianrong was selected for its leading technology and innovation, along with other top domestic online finance firms such as Ants Financial Services and JD Finance.

The report follows the format of KPMG’s top 100 global financial technology companies, and is the first such list to be published specifically for China. The final selection took place after several months of careful consideration. The evaluation committee comprised over 20 senior partners at KPMG China with many years of accumulated experience in the fields of information technology, data analysis, capital markets, risk management, business operations, finance and taxation management, venture capital, and entrepreneurship.

Mr. Lipeng Wang, Managing Partner at KPMG China, said, “What KPMG understands about financial technology (fintech) companies is that these non-traditional companies use cutting-edge and highly-efficient technologies to give themselves an edge in the market, raising overall efficiency and improving risk management of financial services.” KPMG China indicated that the companies selected this year were all evaluated using six criteria, including ‘Leading Information Technology Applications and Breakthroughs’ and ‘Future Development Potential and Broad Development Horizons.’

“The companies listed in the China Top 50 are all committed to technological innovation and to promoting the transformation of financial services. They are using technology as a means to resolve existing problems in the financial services sector, and actively probing and utilizing leading information technologies (such as big data, risk modeling, cloud computing, and blockchain), bringing groundbreaking innovation and efficiency to financial services,” KPMG China said.

Right from the start, Dianrong has been committed to using internet technology to improve the efficiency of the financial services sector. In 2014, Dianrong took the lead with the innovation and development of “TuanTuanZhuan” (Group Investing), a technology platform which matches large groups of investors with a considerable number of their preferred borrowers on a real-time and ongoing basis. Through a real-time matching transaction service function, lending funds are spread out to the borrowers who meet the pre-set lending standards of the lenders, thus facilitating the borrowers’ funding needs and enabling investors to diversify their investments at the same time.

In November 2015, Dianrong developed a lending product aimed at the food and beverage industry called “Da Shi Dai” (Merchant Cash in Advance), a pioneering mechanism that facilitates borrowing through a daily repayment scheme as opposed to the conventional scheme of monthly basis. This product reduces the pressure on food and beverage management teams to make repayments, meaning they can focus on running their businesses, while helping them to resolve financing issues in the easiest and most expedient way.

In cooperation with traditional financial institutions, Dianrong is coming to prominence in the industry. By collaborating with Suzhou Bank on their online financial P2P technology, Dianrong helped the bank build a secure, professional, highly-efficient P2P platform, which provides comprehensive consulting and technology services.
In August 2015, Dianrong received the C round of financing from Standard Chartered PE, and the China Fintech Fund, worth over US$200 million, which has opened up an area of strategic cooperation between traditional financial institutions and P2P.

Dianrong’s latest project in the financial technology sector came to light at this year’s LendIt China Fintech summit in July. Soul Htite, Founder and CEO, revealed that Dianrong has already completed its blockchain rollout, and the company will continue to invest USD 30-40 million in the development of blockchain applications over the next two years. The company is applying blockchain technology to online lending services, so that more small-and medium-sized enterprises can enjoy borrowing services, which also further reduces financing costs.