Fun Store was once one of the largest cash lending platforms in China. Since its establishment in 2014, the main business of the Fun Shop is the commodity staging and cash staging. The revenue is mainly financial service fee income and sales commission income.

Financial service income is on the surface a service fee, but the essence of the study is mainly the spread. Once new financial institutions become credit intermediary, they will face the challenge of credit risk and policy risk. Under the strong regulatory pattern, the uncertainty of policy risk is stronger because it may also trigger credit risk.

It is understood that at the end of last year, following the issuance of the "Notice on Regulating the "Cash Loan" Business" (Paper No. 141) at the end of last year, the Fun Store quickly rectified according to the principle of notification and quickly adjusted its business model: relying on its own scientific and technological advantages. Financial institutions provide services. The business model was changed to traffic distribution, scenario connection and technical services. Finance is handed over to licensed financial institutions. Fun shops only make connections and services. In short, Fun Store hopes to play a connector role in the consumer financial market.

Luo Ming, founder and CEO of Fun Store Group, recently said: “The Fun Shop is a technology company and an internet company. Our current direction is not to directly finance, but to serve licensed finance through technical advantages and big data accumulation. Institutions, assist and support them in the practice of inclusive finance."

However, this transformation is even more meaningful. Fun stores will make money from relying on finance and rely on services to make money. Perhaps it is not as fast as it used to be, and it is easy to make money. However, the risk of credit and policy risks faced by the shop is even smaller.