China Finance, Inc. Signs Contract With Leading Online Payment Processing Firm in China

China Finance, Inc. Signs Contract With Leading Online Payment Processing Firm in China

Company Signs 2nd Surety Guarantee Contract

NEW YORK, Jan. 4 /PRNewswire-FirstCall/ -- China Finance, Inc. (OTC Bulletin Board: CHFI), a China-based provider of surety and loan guarantees to China's large and rapidly expanding class of small and medium enterprises (SMEs), today announced that on December 28, 2004 it signed a surety guarantee contract with Shenzhen ChaseTop Technology Limited to guarantee its successful reverse merger to become a U.S. public company.

Shenzhen ChaseTop Technology Limited is one of China's leading firms providing an online payment platform for e-business transactions. The company's NPS (Network Payment System) has a security authentication solution that is supported by most of the banks in China and their banking cards and service terminals.

China Finance conducted extensive due diligence and background investigation for Shenzhen ChaseTop Technology, which will expedite the completion of the transaction. CFI will receive up to 8% of the equity from Shenzhen ChaseTop Technology Limited after the transaction is closed.

"We chose China Finance, Inc. to guarantee our reverse merger as a way to access U.S. capital because we feel confident about the quality and expertise of its services and management team," commented Shunpeng Ye, CEO of Shenzhen ChaseTop Technology Limited. "Our continued growth will only be accelerated by our secure entrance into the U.S. capital markets. Utilizing CFI's guarantee services will help us reduce our risk and exposure as a U.S. public company rather than trying to achieve this goal without the proper due diligence and support."

Zhiyong Xu, Chairman and CEO of China Finance, Inc. stated, "We are delighted to work with Shenzhen ChaseTop Technology Limited because they are one of the leading online payment firms in the rapidly growing e-commerce industry in China. The strength of our services we provide to leading SMEs in China is further demonstrated by the signing of this contract," continued Yong. "Our primary goal is to continue to offer leading SMEs the ability to access U.S. capital through our guarantee services, and through this surety agreement, that's exactly what we are doing."

Shenzhen ChaseTop Technology Limited

Shenzhen ChaseTop Technology Limited, based in China and founded in 2003, utilizes its NPS (Network Payment System) as an online payment platform for e- commerce transactions. The company's technology platform functions as a bridge that connects consumers and businesses with their financial institutions. The company's platform offers functionality for payment processing online, capital clearance, and inquiries. NPS's features supply consumers and businesses with security and convenience while shopping online. Through NPS, businesses and consumers are able to improve their purchasing efficiency by shortening transaction clearing times and simplifying its payment procedures. For more information, see http://www.nps.cn/.

ABOUT CHINA FINANCE, INC.

China Finance, Inc. (CFI) was founded in June 2004 and is based in the financial district of Shenzhen, China. Its principal business is providing surety and loan guarantees to China-based small and medium enterprises (SMEs). As part of CFI's surety and loan guarantee business, CFI conducts research and background investigations for its clients and acts as financial intermediary throughout the transaction. Final contracts are subject to the approval of an independent Guarantee Contract Management Committee (GCMC). This committee is typically composed of third-party accountants, lawyers and other experts in the guarantee business. CFI brings together a management team with broad experience in loan guarantees, real estate development and investment banking. For more information, see http://www.chinafinanceinc.com/.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including the recent economic slow down affecting technology companies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our Annual Report on Form 10-KSB, recent and forthcoming Quarterly Reports on Form 10-QSB, recent Current Reports on Forms 8-K and 8-K/A, and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

Sabrina (Li) Guo
Vice President
China Finance, Inc.
201-216-9323 x105
Email: Sabrina@chinafinanceinc.com

Brandi Piacente
Investor Relations
The Anne McBride Co.
212-983-1702 x208
Email: bpiacente@annemcbride.com


Source: China Finance, Inc.

CONTACT: Sabrina (Li) Guo, Vice President of China Finance, Inc.,
+1-201-216-9323, ext. 105, Sabrina@chinafinanceinc.com; or Brandi Piacente,
Investor Relations of The Anne McBride Co., +1-212-983-1702, ext. 208,
bpiacente@annemcbride.com, for China Finance, Inc.

Web site: http://www.chinafinanceinc.com/


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