P2P-lending in the world

2005.  P2P-lending first appeared in the USA (Prosper) and in the UK (Zopa)
2008.  Government regulation of P2P-lending has been implemented in the USA and the UK
2012.  The business model success was recognized and 100+ online p2p-lending portals worldwide started working
2014.  First IPO in the sector of P2P-lending – LendingClub – 1,2 billion USD
2015.  Government regulation of P2P-lending in China, where the market size exceeded that of the USA (by companies' portfolios size)
2016.  More than 5000 companies around the world doing business in P2P-lending sector, 4000 of which in China.
2018.  Wave of cryptobank's and cryptolombard's ICOs

Marketplace Lending Is in Liftoff, With a 123% Compound Annual Growth Rate From 2010-2014
Base Case: Global Marketplace Lending Can Reach $290 Billion by 2020, With Expect Compound Annual Growth Rate of 51% From 2014-2020
Millenials Are Highly Aware of P2P Solutions

Why P2P-lending sector is growing in the world?

Investors prefer P2P-lending to banks.
It is possible to be engaged in lending without costs for KYC and restrictions for requirements to the capital with BASEL and under less regulatory pressure
Borrowers prefer P2P-lending to banks.
The percentage of loan applications refused by banks is growing. In turn every request for individual's credit history spoils his credit rating. The borrower can't know current lending politics of a particular bank. P2P-portals often offer lower loan interest rate and approve loan applications with higher probability.
Unprofessional lenders:
They got a new financial instrument to invest in lending which doesn't require specialization in it and promise higher profit than a bank deposit. Besides no license is required
Professional lenders (financial organizations):
First of all decreasing of loan approval causes raising of CPL price and high costs of underwriting. The next there are BASEL strict requirements and KYC-costs remaining at a high level. Finally, offices are necessary. These things definitely proven the need for an alternative to conventional bank lending
P2P-lending portals use payment infrastructure of banks, risk infrastructure of credit bureaus, and capabilities of the Internet in order to communicate with customers at the lowest cost

Three business models of online lending

For non-professional investors

For professional lenders

1

 

Model of portfolio investment into the long-term loans

(the investor doesn't choose borrowers, low rate of approval)

 

2

 

Model of the syndicated crediting in notes for long term

(the investor chooses borrowers, low rate of approval)

 

3

 

Credit broker model with or without insurance

(investors choose borrowers, a high rate of approval)

 
 

Types of loans

 

 

 

In common online lending portals are specialized in the only type of loan

pickture1      Loans secured by digital assets

pickture1      Unsecured money loan (e.g. payday loan, microcredit)

pickture2      Personal loan with guarantee

pickture3      Refinancing

pickture4       Mortgage with security

pickture5       Student loan

pickture6       Business loan