Core Viewpoint - The internet micro-lending industry is increasingly utilizing Asset-Backed Notes (ABN) and Asset-Backed Securities (ABS) as primary financing methods, with significant growth observed in ABS issuance in 2025 compared to the previous year [1][2][4]. Group 1: Financing Methods - ABN has become a preferred financing method for several internet micro-lending companies, with 8 out of 14 financing projects in 2025 being ABN [1]. - ABS issuance has shown a notable increase, with 50 ABS products issued in the first half of 2025, a 61% increase from 31 in the same period of 2024 [2]. - The total issuance amount for ABS reached 363.31 billion yuan in the first half of 2025, marking a 105% increase from 177.12 billion yuan in the same period of 2024 [2]. Group 2: Major Players and Projects - Major technology companies like Tencent, Meituan, and JD.com are leading the ABS issuance due to their credit advantages [2]. - ByteDance's Shenzhen Zhongrong Micro Loan Co. and Baidu's Chongqing Du Xiaoman Micro Loan Co. have successfully approved ABS projects with a scale of 90 billion yuan each [2][3]. - JD.com's Chongqing JD Shengji Micro Loan Co. has received approval for three ABS projects totaling 199 billion yuan [3]. Group 3: Regulatory Environment - The National Financial Supervision Administration released the "Interim Measures for the Supervision and Administration of Micro Loan Companies," which aims to regulate the behavior of micro-lending companies and promote healthy development [4][5]. - The interim measures specify that the balance of funds raised through ABS and other standardized forms cannot exceed four times the company's net assets at the end of the previous year [4]. - Industry experts believe that while the measures expand financing space, they also impose necessary regulations to prevent excessive leverage and financial risks [5].

Group 1 - The core financing method for internet micro-lending companies is through the issuance of Asset-Backed Notes (ABN), with a notable preference for this method observed in 2025, as seen in companies like Caifutong and Didi's West Coast Microloan [1] - In the first half of 2025, the number of ABS products issued by micro-lending companies increased significantly, with 50 products issued, a 61% increase from 31 in the same period of 2024, and the issuance amount reached 36.331 billion yuan, up 105% from 17.712 billion yuan in 2024 [2] - Major technology companies such as Tencent, Meituan, and JD.com are leading the ABS issuance, leveraging their parent company's credit advantages, with a diverse range of underlying assets including consumer installment loans and small business loans [2][3] Group 2 - The regulatory framework has been strengthened to promote the healthy development of the internet micro-lending industry, with the issuance of the "Interim Measures for the Supervision and Administration of Micro-lending Companies" aimed at standardizing operations and preventing risks [4] - The new regulations specify that micro-lending companies can leverage up to four times their net assets from the previous year when issuing ABS, thus expanding their financing capabilities while imposing necessary constraints [4][5] - Industry experts note that the regulatory measures are intended to mitigate financial risks while allowing compliant micro-lending companies to enhance their market value and contribute to the real economy [5]