The Study Of Chinese Prepaid Industry Supervise Management

The prepaid card payment appeared as early as40years ago. With the development of the computer communication technology, the prepaid card industry worldwide has been greatly developed. Prepaid legal status what was clear in China from2006to2010, and the lack of appropriate supervision, has led to the rapid development of this industry. Also a lot of problems in the prepaid card industry caused widespread concern in society. Since2009, China has formulated a number of important regulatory rules and regulations for the prepaid card market, which marks the arrival of the era of the prepaid card industry regulator.The article analyzes the development of prepaid card industry. The market of prepaid card is large and there are multi-card issuers. Prepaid cards have a wide range of applications. However, the article thinks that the prepaid card is a complementary tool in the payment system rather than a mainstream payment instrument. The article also analyzes the domestic and foreign regulatory.The article simulates the competitive process of the prepaid card industry by methods of mainstream economics, to identify the characteristics of competition in the industry. Then the article analyzes the bilateral market effects of the prepaid card industry. Combined with its supplementary features in payment system, the article deduces that there is not low efficiency even if only one company in the industry. This paper also reaches the prepaid technical harmonization of standards and the relationships of prepaid card industry and banking. The article uses the complete information static game model to analyze the relationship of the prepaid card enterprises and the regulators, and it gives several regulatory recommendations.