A Study On Internet Payment-Based Anti-Money Laundering Supervision

With the continuous development of Internet finance, online remittance, online shopping and online financial service have become very common in our daily life. As that trend goes on, the way of money laundering is also changing in the Internet age. Therefore, the traditional supervision of anti-money laundering cannot cover all any longer. Internet payment, by its invisibility, immediacy and globalization, has become a widely used new method by money launderers. Meanwhile, it also brings new challenges to anti-money laundering. Although recently, China has put internet payment under supervision, the relevant systems and measures of anti-money laundering are still undeveloped and need to be improved. Besides, new technologies and new services are constantly introduced; anti-money laundering cannot catch up in time, related researches and institutional improvement need to be urgently strengthened.Starting with the concept of money laundering by internet payment, this paper introduces the basic concept and status quo of internet payment, money laundering, as well as money laundering by internet payment. It sums up the main methods and characteristics of money laundering by internet payment, summarizes the origin and current development of money laundering by internet payment in China. Through detail analysis, the author reveals the causes for the fast growing of money laundering by internet payment, that is, the better feasibility to hide the identity, the higher transaction speed, the greater convenience to transfer money between regions, as well as the high benefit and low cost. Based on her work experience and relevant international experiences, the author takes a deep insight into six aspects of the anti-money laundering supervision system in our country, institutional improvement, the organization structuring and the coordination mechanism to name some. She gives an evaluation of the efficiency of supervision convergence and the applicability of the system, and also points out the existing problems. Moreover, this paper puts forward several suggestions for fighting money laundering by internet payment, e.g. improving oversight and regulation system, converting supervision ideas and introducing more supervision methods, etc. These suggestions are based on thorough theoretical research and practical work experience, and can be quite practical and operational.