Around the world
Yahoo Finance posted an article discussing the growing membership of the Marketplace Lending Association. This trade association, formed in 2016, seeks to advance the marketplace lending world through the development of transparency, efficiency and consumer-based solutions. In recent years the association has provided a foundation of legitimacy for various P2P networks.
PYMNTS published an article announcing the introduction of blockchain technology into marketplace lending. The relatively new technology of secured, digital ledgers has helped alternative currencies like Bitcoin reach the masses. Now, some marketplace lenders are exploring how they can use the same technology to bolster P2P platforms.
Forbes generated a piece discussing the prominence of marketplace lending in our digital world and the advantages of the industry. The author explains “In 10 short years, P2P lending has facilitated over $35 billion of loans in the US.” However, there is still plenty of room for this young arena to grow. “Loans made through P2P platforms currently account for just 3% of the total unsecured consumer loans in the US,” offers the author.
CIO offered a brief review of how marketplace lenders are continuing to influence the future plans of conventional banks because, “In order to retain and keep wallet share, banks and financial must rethink the future of service delivery that they currently offer, in a way that transcends new technology adoption.” Moreover digital solutions like marketplace platforms can adjust faster than brick and mortar businesses.
Gadget discussed the emergence of P2P firms in countries like Africa. Specifically, “Kenya and South Africa are the market leaders, raising $16.7 million and $15 million respectively from online channels in 2015.” The country has many citizens who are dissatisfied with traditional lenders and therefore, are turning to the speed and affordability of online solutions.