Research On The Legal Construction Of Consumer Trust Mechanism Based On Internet Payment

Payment is an indispensable foundation and platform for the national economy and finance.With the development of information technology and the wide penetration of internet plus,China's internet payment has evolved many innovative models,produced a new industrial pattern of sharing economy.Internet and information technology have fundamentally changed the transaction behavior between people,thus,there will be more profound changes in internet payment.It cannot be neglected that the internet payment in China presents explosive growth at present and is characterized by the extensive pattern of capital accumulation,risk aggregation and supervision absence.Internet payment is confronted with a series of challenges and problems,such as the increase in information content and the acceleration of information flow,which brought about the increase in false information and the acceleration of false information flow,making the information screening more difficult.If the flow of real information cannot keep up with that of false information,new information asymmetry will appear and it will increase credit risk;while bringing people convenience and other benefits,technological innovation also has great security problems.The increase in insecurity factors caused by information asymmetry and negative externality can easily incur systemic financial risks,thus reducing the stock of social trust and even leading to consumer trust crisis.Therefore,the risk and trust problems arising from information asymmetry in traditional financial transaction are still the problems shall be solved with diligent care in the financial innovation of internet payment.With the rapid development of the financial industry in the internet age,the domestic and foreign scholars have done some research on trust and trust mechanism,as well as the financial form and supervision of internet payment at different degrees.However,the research on the legal construction of consumer trust mechanism based on internet payment is still insufficient.The innovations of this paper were that it enriched the research perspective and research on trust theory by adopting the research method combining economics of law with multiple disciplines.It probed into the innovative structure,risk characteristics,and system root of internet payment system in China,as well as the trust relationship and trust mechanism under the financial form of internet payment in China by taking trust as a social system problem.It revealed the basic elements of trust mechanism—the new relationship between “information,trust,and law”,elaborated the reasons for trust,the subjects being trusted,and the ways of trust,and put forward the implementation path of legal construction of consumer trust mechanism based on internet payment.This paper can be divided into four parts with six chapters:Part I(Chapter I)is the introduction.This part put forward the existing risks,consumer security problems,and consumer trust problems of internet payment innovation in China and expounded the significance of the topic,the research results at home and abroad,and the research method,content structure,and theoretical innovation of this paper.Part II(Chapter II)is the evolution of trust theory.Firstly,the author elaborated the reasons for trust.The world is inherently complex and uncertain;trust is a social mechanism for dealing with uncertainty and seeking ontological security and is a kind of basic value of society.As the bases of trust,rational choice and embedded choice are the expansion of the value of internet payment system trust and provide the domain of interpretation for making trust become the “kernel” of the system.Secondly,the author elaborated the subjects being trusted.The popularization of the contract has completed the transition of trust from trust in acquaintances to system trust;the innovation of the tool is driving the structural change of internet payment,which changed the way of trust and required the reconstruction of system trust centering on satisfying consumer demand.Finally,the author elaborated the ways of trust.The modern society is dominated by system trust,but the system often emphasizes “control” and has defensive framework with the hollowed-out kernel of trust.Meanwhile,a distinctive feature of China's social trust is the pattern of difference,showing very obvious special trust.The new social division of labor and production factors of internet payment prompted the extensive establishment of system trust and technology embedding provided a perspective for analysis on the effective operation of system trust.Part III(Chapter III and Chapter IV)is the root cause of trust crisis of consumers and the utility of trust mechanism.Internet payment innovation is an impulse instinct driven by private rights to promote social development.Innovation will happen when changes in interest rates can stimulate people to create financial instruments,technological improvements can generate new financial products and reduce transaction costs,and certain constraints of managing regulations can reasonably be circumvented and bring benefits.Financial risks and trust crisis by over-innovation on the surface;however,the intrinsic roots are the ineffectiveness of supervision and incentives for the innovative behavioral strategies of market players,as well as the problems in the value orientation of the legislative structure and the trust structure.The effectiveness of the trust mechanism lies in embodying the consistency between individual and social interests,and realizing the balance between the supply and demand of market players' interests;essentially,it shows the potential residual benefits of how to achieve the division of labor of market players.By demonstrating the balance of endogenous and exogenous transaction cost and the cost-benefit utility function,this part revealed the mechanism of the reliability and validity of trust mechanism and provided a basis for the legal construction of trust mechanism.Part IV(Chapter V and Chapter VI)is the legal construction of consumer trust mechanism based on internet payment.First,it reshaped the path to optimize the implementation of laws.It used the rigid constraints of the law to exert its incentive-constraint function,and used embedded reputation mechanism to promote rational guidance and configuration of the law.By combining the reputation mechanism with the law effectively,it constructed the legal system of consumer trust mechanism based on internet payment.Second,it reshaped the optimizing path of legal trust technology.Relying on technologies such as mobile internet,big data,and cloud computing,the information structure and cost structure in the traditional transaction process were changed,and the effective allocation of market information resources was guided.The “decentralized” application support system was established through blockchain technology,which achieves equality between institutions and consumers in terms of information rights,eases information asymmetry,promotes the transformation from information transfer to value transfer,and establishes the trust mechanism among strangers in the internet era.