Since the outbreak of the financial crisis in the United States in 2008, "shadow banking" has attracted extensive attention of scholars at home and abroad. Based on the definition of shadow banking at home and abroad, this paper clarifies the mechanism of shadow banking in China, and finds that its business model is constantly changing with the introduction of regulatory policies. Secondly, it analyzes the credit risk and liquidity risk of shadow banking, and calculates its scale. This paper describes the risk situation of shadow banking in China from the perspective of theory and data. Finally, this paper analyzes the regulatory difficulties of shadow banking in China from three aspects of capital source, intermediate channel and capital destination, so as to reflect the regulatory status of shadow banking in China and give corresponding suggestions.

Tangyi Feng, Guangxin Qin. Shadow Banking: A Study Based on Mechanism, Risk and Supervision. International Journal of Frontiers in Sociology (2021), Vol. 3, Issue 10: 50-54. https://doi.org/10.25236/IJFS.2021.031009.

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