Abstract: Technological innovation is the core element of developing new productive forces and a major force driving social progress. In recent years, China has placed great emphasis on the development of digital finance and the construction of a business environment. Therefore, studying the relationship between digital finance and corporate continuous innovation is of great significance. Taking Chinese A-share listed companies from 2011 to 2022 as research samples, this paper employs a dynamic panel threshold model to examine the relationship between digital finance and corporate continuous innovation capabilities, while also exploring the potential of the business environment. The results show that developing digital finance can effectively enhance corporate continuous innovation capabilities, but this effect tends to diminish over time. By improving the business environment, however, it can stimulate the promotional effect by digital finance on the continuous innovation of enterprises. This conclusion is particularly evident in samples of non-state-owned enterprises and those located outside coastal areas. The mechanism test indicates that the current impact of digital finance on corporate continuous innovation mainly comes through enhancing industrial chain resilience and improving the level of financial technology. Therefore, government departments should further promote the deep integration of digital technology, financial services and the real economy by creating high-level digital and technological business environments, thereby strengthening the governance of financial data and improving the service efficiency for corporate continuous innovation.

Key words: digital finance, business environment, continuous innovation capability, new productive forces