Study On Regulation Of Chinese P2P Network Lending

P2P network lending refers to realize direct lending between individuals through the network. In 2005, the first P2 P network lending platform was born in Britain, and then it developed in the whole world. In 2007, the P2 P network lending platform appeared in China. Due to provide new investment channels for the sufficient funds and meet the strong demand for investment, so that investors enjoyed high income and borrowers enjoy ed the convenience, P2 P network lending platform develops rapidly in China.In the rapid development of P2 P network lending, it encountered some problems at the same time, such as the lack of legal status, industry regulation and credit system, the deficiency market environment, venture-management, venture-management culture and venture-management human resource. Fraud, run away, failure encashment and other incidents aroused in newspapers frequently, industry development encountered obstacle. Whether or not to introduce regulatory supervision and how to realize it should be pay attention.This paper on P2 P network lending industry can through the introduction of regulation to promote the industry’s healthy and rapid development has been studied, mainly completed the following work:Firstly, this paper gave the definition of P2 P network lending platform based on the mainstream view, defined the scope of the P2 P network lending industry, reviewed the P2 P network lending platform in China from the birth to the rapid development, introduced the booming current situation of P2 P network lending industry, also cited the domestic lending-model, fees, venture-control, characteristics of the typical P2 P network lending platform such as Pat loans, Confidence loans, Venture capital Hong-ling,Yixin,Analysis of the internal and external factors of the development of the P2 P network lending platform.Then, analyzed the reason of the risk of P2 P network credit by reviewing the existing legal risk, credit venture, regulatory venture, information asymmetry risk, investment risk, self risk, settlement venture, information security risk, explained the realistic reason of introducing regulatory supervision, and the theory reason of introducing regulatory supervision through the market failure theory.Finally, through the reference of regulatory experience in foreign, besides from the perspective of maintenance of financial stability and protection the legitimate rights of the financial consumer, this paper put forward policy recommendations covering the set of industry access threshold, the function of industry self-regulation, the supervision of the negative list regulation and appropriate regulatory market exit mechanism.