Limitation Of P2P Network Lending Platform's Misconduct In China

P2P network lending is a product combining the Internet technology and folk lending in the information age,it bases on the Internet users which is a huge source of customers,breaks the geographical restrictions,broaden the scope of business of private lending,and offers more services to small and micro enterprises and individuals which is a special group suffering the restriction of lending funds from the traditional financial institutions.It gains huge profits from the long tail market and achieve the policy significance of inclusive finance at the same time.Since the first domestic lending platform ppdai appears online in 2007 till today,it enters the “barbaric growth”state in the absence of regulation policy environment,while there is an influx of different kinds of funds on one side,on the other side incidents of running away happen frequently.There is a variety of business model at the development of business,it becomes more and more difficult to control the risk because of some factors such as the leverage or outsourcing and transferring the business to other institutions.So how to regulate P2 P industry appropriately and effectively remains a subject which is urgent,important and owns practical significance at the same time.In this paper,first it has briefly reviewed the development status of P2 P network lending in China from the origin and characteristics,combing the domestic business models,comprehensively analysis the current platform operation risk.Then by defining misconduct and comparing it with the illegal behavior and crime,clearly explicit the meaning of misconduct in this context,and then classify the misconduct of domestic P2 P network lending platform combined with sometypical cases,pointed out the shortcomings of current legislation in China.Finally,through the investigation and reference of the governance experience of England,America and Korea,put forward a series of improvement ideas and suggestions for the development of China national conditions and network Lending industry.