The myth of "Ant Financial Service" has been heated up these days, which not only created the wealth freedom of its employees, but also created the landlord near the ant headquarters.

2. What is the concept of1trillion valuation?

We still remember China's 4 trillion bailout when the global financial crisis hit in 2008. 4 trillion, saving the national real estate industry in one fell swoop.

The market value of Ant Financial Services is 2 trillion, which drives the housing price in a suburb of Hangzhou. It's a small case!

There are various interpretations about the valuation of Ant Financial.

Some people interpret it from a financial point of view and think that the P/E ratio of ants is 10 times that of ordinary banks, which is too high!

Some people interpret it from a market perspective, thinking that ants are Internet-based retail banks, which are essentially banks with high valuations!

From a scientific and technological point of view, I believe that ants have high technology, their own big data technology and blockchain technology, and the valuation is reasonable!

Some people interpret it from the perspective of traffic, thinking that ant users are three times that of Paypal, and the transaction scale is 25 times. The valuation is too low!

There are even people who interpret the future of the country and think that China has a bright future and the future of ants is limitless!

But have you ever thought that these statements are too one-sided:

Ant Jin obeys not to say that he is a bank! Big data blockchain high technology? If so, there will be more trillion-dollar companies in China! Large flow? People who take buses have the largest traffic every day. Why are bus companies not listed collectively?

It is even more funny to interpret it from the future of the country. Shouldn't a country buy its sovereign bonds, index funds or hold its currency? Why is it linked to a company? Is it true that a country has a bright future, and all enterprises will not lose money, but will strive for more money every day? Investing in a company but looking at a country is a typical speculation!

Therefore, the 2. 1 trillion valuation of Ant Financial must have a deeper reason.

First of all, let's see how people who don't have Alipay and Ant Financial spend their money.

We can do business in two ways: first, through cash transactions; The second is the transfer transaction.

For cash transactions, banks lose the ability to track the whole transaction process after they get cash from users. As for the transfer transaction, whether it is a bank card or a credit card, it must go through the clearing center of the People's Bank of China, and all the data of user transactions are in the hands of the People's Bank of China.

Then let's take a look at what happened after Alipay and Ant Financial came out.

Users can register Alipay accounts and then conduct transactions in the following ways:

One is to recharge the account balance and then trade directly through the balance.

Second, the bank card is associated with Alipay, and then payment is made through the bank card. The bank first transfers the account to Ant Financial, and Ant Financial then transfers the account to the other Alipay account through the internal system.

The third is to trade through credit accounts such as flower buds provided by ants.

In all these ways, Alipay participates in the whole process and records the whole process.

Have you found that the emergence of Alipay has changed the most?

There are two biggest changes:

First, as the clearing center of the central bank, the People's Bank of China has been largely replaced!

Second, it completely reversed the uncontrollable situation of cash transactions!

It can be said that these two changes are the most fundamental reasons for the infinite scenery of Ant Financial Service.

Think about it, when there is no Alipay, many cash transactions cannot be linked to personal credit. Many transactions through the People's Bank of China are also small transactions, and the central bank's attitude towards these data is very negative. Everyone knows that data is priceless, but the value is relative to the owner. The central bank is not a commercial bank, so it can't be realized by these data, nor can it be bought or sold.

As for commercial banks, because personal data is in the hands of the central bank, there is basically no possibility of using it. Therefore, it is extremely difficult to investigate personal credit. Therefore, the loan business of commercial banks is mainly aimed at large customers and large personal loans, such as mortgage and car loans.

The non-profit nature of the central bank determines that this situation will definitely happen, whether at home or abroad.

The emergence of Alipay and Ant Financial has fundamentally changed this situation.

It is equivalent to the central bank handing over its role as a small settlement center to Ant Financial!

So in front of personal business, Ant Financial is equivalent to a Pinduoduo version of the central bank! Except that you can't issue money.

What advantages does Pinduoduo have over Taobao and JD.COM?

Is to tap the value of small town users scattered in the fourth and fifth lines!

Ant Financial Service is to tap the value of scattered individual microfinance users!

If there were no ants, the value would be too high for commercial banks to dig, just like JD.COM. COM's operation on county market.

Let the central bank do it. The central bank is not even a commercial bank. It is insensitive to the data in hand. Where is it like an ant suit? Seeing the data is like sharks smelling blood!

Now everyone understands that ants are banks, retail banks, big data technology companies, blockchain technology companies and companies with a large number of users. These are right!

But these are not the reasons why Ant Financial has its present status.

The valuation of Ant Financial can reach 2. 1 trillion, because it is a central bank to some extent. For hundreds of millions of users, it's like being there!

Without this role, even if you have money, what can you do with technology?

If you have money, you can only be an investor and invest everywhere. If you have technology, you can only turn the blockchain into a pyramid scheme.

So how did the role of Ant Financial Service come from? It's just the right place at the right time.

Alipay is a good time to catch up with the internet retail industry!

Ant Financial was born in the rising China, which is a good place!

There are a group of enterprising people inside, and there is loose supervision outside, which is really human harmony!

The first-Mover advantage enables Ant Financial to maintain this competitive advantage for a relatively long time.

What about the future? Especially the birth of digital RMB? What will happen?

I will continue to share the thinking behind these technologies in the next article!

thank you