Abstract: In the process of Chinese modernization, the transition from a financial powerhouse to a financial superpower is an imperative task of our time. The Central Financial Work Conference outlined five major priorities for the financial sector, among which digital finance represents both a weak link in China's financial system and its technological foundation. By leveraging digital technology to empower the financial industry, we can further support areas such as fintech and green finance. Digital finance leverages AI to predict market trends and enhance the industry's anti-fraud capabilities. By relying on big data and algorithms, it addresses the financing difficulties faced by inclusive finance and small and micro enterprises, shifting the focus from collateral to data. With its quantitative and objective perspective, digital finance can stimulate innovation among financial institutions, promote the integration of the digital economy with the real economy, and accelerate the transformation of financial service methods and models.
