Research On The Impact Of Digital Finance On Corporate Debt Default Ris

Since the occurrence of China’s first debt default event in 2014,debt default has exploded,and corporate default risk is an important source of systemic financial risk.It will not only hinder the normal production and operation of enterprises,but also affect the stability of the industry and the confidence of investors.Therefore,how to scientifically and effectively prevent and control the risk of corporate default has become the focus of attention.With the continuous development of digital technology,digital finance combined with traditional finance is gradually affecting the production and operation activities of enterprises,making up for the shortcomings of traditional finance that cannot balance "fairness" and "efficiency",and providing new ideas for reducing the risk of enterprise default.In terms of quantitative analysis,this article takes China’s A-share listed companies from2011 to 2020 as a sample,and explores the impact of digital finance on corporate debt default risk and its mechanism based on the characteristics of digital finance-inclusive,financial nature,and digital characteristics.The empirical results show that digital finance can reduce the risk of corporate debt default,and the conclusion remains robust after replacing the explained variable,explanatory variable,and endogenous testing using instrumental variables.Taking 2016 as the time node for heterogeneity testing,it was found that since digital finance entered the rapid development stage in 2016,it has a stronger role in reducing the risk of corporate debt default.Mechanism analysis shows that digital finance can reduce the risk of corporate debt default by easing corporate financing constraints,inhibiting corporate financialization,and reducing the mismatch of external financial resources.Qualitatively,take Jiangsu Jixin Wind Energy Technology Co.,Ltd.as a case company to further open the "black box" of digital finance affecting corporate debt default risk.The result of the case study shows that: from the beginning of the development of digital finance to the early stages of development,and then to the rapid development period,the debt default risk of Jixin Technology has been continuously reduced and ultimately maintained at a low level.The specific path of action is as follows: With the development of digital finance,the financing constraints faced by companies have been alleviated,the degree of financialization has decreased,and the degree of mismatch of external financial resources has decreased,ultimately achieving the goal of reducing the risk of corporate debt default.On this basis,combined with the special situation of the debt default risk of the case company,it is further explored and found that R&D innovation is also the impact mechanism of digital finance on the debt default risk of Jixin Technology.Through expanded analysis of the empirical mechanism,it is found that digital finance can promote Jixin Technology to increase R&D innovation to reduce its debt default risk.Based on this,this article proposes the following suggestions to reduce the risk of corporate debt default: First,to promote the development of digital finance.By intensifying competition among traditional financial institutions,it forces them to undergo digital transformation,improve the efficiency of financial resource allocation,and alleviate financing constraints;At the same time,strengthen the supervision of digital finance and the use of corporate funds,alleviate the internal financialization of enterprises,and make digital finance better serve the real economy;The second is to prevent the risk of corporate default.Enterprises should improve their own risk management system and strengthen their own fund utilization management,fundamentally enhancing their risk management awareness and risk resistance,and preventing debt defaults.