Research On The Legal Issues Of Peer-to-Peer Lending Platform In China

With the rapid development of Internet oriented information technology, Internet finance appeared as new financial phenomena. Internet finance is an innovative financial model includes the third-party payment, peer-to-peer lending, crowdfunding.etc.2013 is known as the first year of the Internet finance. The reason is that after years of development, the Internet thinking began to penetrate the traditional financial area. Various traditional financial industries such as banks, securities, insurance began to seek transformation, trying to figure out a way to expand their shares in the financial sector of Internet. The inherent financial pattern began to break. As an important part of Internet finance, peer-to-peer lending platform has gone through 9 years of development since 2007, caused considerable impact on our traditional financial industry. Peer-to-peer lending platform is now considered at the “barbaric growth” stage in China. There must be a series of problems behind the brutal expansion. According to the relevant data, until December 22,2015, there are nearly 4000peer-to-peer lending platforms in China. However, it is estimated that about one-third of the platforms have various problems. No threshold of entry, no norm of law, no regulators, peer-to-peer lending platforms in China is in such dangerous situation.July,18,2015, the People's bank of China issued the notice Guidance on promoting the healthy development of Internet Finance. China Banking Regulatory Commission published” regulation on business activity of Internet lending information intermediary”.2015 can be considered as the first year of Internet financial regulation. Peer-to-peer lending platforms can be reshuffled with the measures above. Under the above-referenced background, this paper hopes to clarify the legal status of peer-to-peer lending platforms and civil legal liability it should be assumed.The main content of the essay be divided to four sections: The first section put forward the legal issues of peer-to-peer lending platform in China. This section includes two aspects. The first aspect includes the basic situation of peer-to-peer lending platform, classification of peer- to-peer lending in China. The second aspect put forward three legal issues includes the inappropriate position of peer-to-peer lending platform, civil liability of peer-to-peer lending platform and legal risk faced by peer-to-peer lending platform. The second section is the analysis on the legal status of peer-to-peer lending platforms in China. This section is expounded chiefly through two aspects: first, analysis on the legal relationship of P2 P lending transaction; second, the author suggested that peer-to-peer lending platform in China should be considered as securities institution. The third section: Analysis on the civil liability peer-to-peer lending platforms should bear in China. Detailed analysis from the following aspects: constitutive elements, types, principles of liability fixation, etc. The last section: proposal on risk prevention of peer-to-peer lending platforms, which including perfection of company's administration structure of peer-to-peer lending platforms, the strengthening of information disclosure of peer-to-peer lending platforms, the introduction of commercial bank asset custody system and establishment of market exit mechanism of peer-to-peer lending platforms.