Abstract: Financial safety has now risen to the national strategic level, and asset shortages reflect the degree of financial safety and stability. In the Internet Finance age, this paper studies the relationship between electronic money and existing situation of asset shortages in China. Research results show that asset shortages have been a typical economic fact in our country, the substitute acceleration effect of electronic money plays main role in alleviating asset shortages, and the substitute conversion effect of electronic money exacerbates asset shortages. Although the substitute acceleration effect of electronic money only temporarily alleviates the asset shortages to maintain financial stability, it can easily lead to funds of the second move and the problem of idle funds in financial system, and even can cause a speculative bubble and asset bubble so that damage the financial safety in the long term. Therefore, only by strengthening the substitute conversion effect of electronic money and deepening the supply side reform in the financial field, we can solve asset shortages in our country fundamentally.

Key words: electronic money, asset shortages, financial safety