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Construction of intelligent risk control system for internet finance based on self-organizing web based assurance communities

Author

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  • Kong Weiqiong

    (Yellow River Conservancy Technical Institute)

Abstract

In recent years, China’s network economy platform has experienced remarkable growth, leading to significant advances in Internet financial services. Despite the industry’s burgeoning assets, which now approach nearly 200 trillion yuan and include sectors such as asset management, trust and insurance, it has yet to pose a significant threat to traditional financial institutions in terms of scale. However, the burgeoning Internet finance sector, which serves as a catalyst for both traditional financial institutions and emerging financial companies, poses numerous risks. Amidst the rapid expansion of Internet finance in China, there is a critical research gap regarding effective risk management strategies. This paper addresses this gap by proposing an intelligent risk control system for Internet finance that utilizes self-organizing web-based assurance communities. At the heart of this system is the Hierarchical and Centralized Routing Model for Ad Hoc Networks (HASN), a groundbreaking innovation designed to organize Internet nodes by introducing network hierarchy and group partitioning mechanisms based on actual network topology. The HASN model aims to establish a self-organizing network architecture with a fully distributed structure. Subsequently, the paper applies this model to the proposed risk control framework. Through rigorous testing, the study explores the dynamic interplay between network topology and weight during the evolution process. The results demonstrate that the HASN model successfully simulates crucial properties of real-world network topology and weight distribution, laying the groundwork for robust risk management strategies in the Internet finance domain.

Suggested Citation

  • Kong Weiqiong, 2024. "Construction of intelligent risk control system for internet finance based on self-organizing web based assurance communities," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 15(8), pages 3894-3904, August.
    • Handle: RePEc:spr:ijsaem:v:15:y:2024:i:8:d:10.1007_s13198-024-02387-8
    DOI: 10.1007/s13198-024-02387-8
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    References listed on IDEAS

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    1. Akhigbe, Aigbe & Madura, Jeff, 2001. "Why do contagion effects vary among bank failures?," Journal of Banking & Finance, Elsevier, vol. 25(4), pages 657-680, April.
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