Research On The Intermediary Function Of Peer-to-Peer Lending Platform Based On Financial Intermediation Theory

Peer-to-Peer（P2P） lending have come true direct lending through the Internetplatform, is usually referred to as " person-to-person lending" in China. With the rapiddevelopment of Internet technology, P2P lending has also a rapid development.Because of modern information technology have greatly improved the speed ofinformation transmission and coverage, P2P lending has to minimize the cost ofborrower information production through internet technology, Makes the traditionalfinancial intermediaries banks have the advantage of physical outlets no longer.The main content of this paper is based on the rapid development of the P2Plending platform; from the theory of financial intermediation view research the P2Plending platform how to play its role in intermediation process. From the theoreticalperspective and the use of theoretical models to clear P2P lending institutions play anintermediary role in the lending process and compared with traditional financialintermediaries to analyze the advantages of the characteristics of P2P lending platformThe conclusions of article are that the development of P2P lending model isreasonable. In the field of microfinance, P2P lending platform has advantages thantraditional financial intermediary bank in terms of cost and risk control. P2P lendingplatform collects information about borrowers through the Internet technology whichcan reduce transaction costs, transfer the risk of intermediary platform to investors,and promote small lenders to diversify investment and so on which reduce the risk.The traditional financial intermediation transform savings to investment, however,P2P lending lends directly.P2P lending platform don’t support the risk of borrowerdefault. Which is only regared as a platform of information?Contributions of this paper were that through the study of P2P lending serviceplatform intermediary function, it is concluded that the existence of the P2P lendingagencies have its rationality. Provide opinions and suggestions for future regulatoryagencies to provide a theoretical reference position on the nature of P2P lendingservice platform, and the development of P2P lending industry.