The Study On Legal Regulatory Issues Of P2P Network Platform In China

P2P lending is the abbreviation of peer to peer lending. In recent years, in the context of financial globalization, a number of new financial products which are based on the Internet have come into the economy market of China. In the year of2005, the first P2P platform appeared in the UK,since then,there has been a economic boom of combination between private lending and the Internet from all over the world. In2007, China’s first P2P platform,named Paipaidai came into operation.Then the financial products about lending on the internet have sprung up one after another. At the end of2014,lending platform reached to1575,which is nearly twice compared with the number of800in2013. In2014, the number of new P2P platporm is over900,whose average registered capital is about27.84million RMB. Through the year of2014, the annual total lending volume is up to253.8billion RMB,which is2.39times to the number in2013. In addition, in2014, the number of investment members and borrowers is11.6million and63million in the industry of investment, which is three times compared with the number in2013. But the P2P platform has more and more problems. There are275P2P platforms which have issues in2014, that is3.6times to2013. In December the number of issues platforms reached92,exceeded the number of last year’s issues platform. Because of the rapid pace of development, China has not yet introduced the relevant legal norms, and because of the disagreement in the definition of P2P platform, making it impossible to start its regulatory, therefore the investment risk is also increasingly apparent. This article starts with the P2P platform problems, then analyze the reasons for these problems from the economic and legal aspects, as well as through comparative analysis with foreign P2P platforms, points out the risk and limits of P2P platform in China, learn from foreign advanced experience, and based on our own, according to the current development of P2P platform, finally raise some recommendation to develop P2P platform. A coin has two sides. P2P platform has its advantages and disadvantages from the moment it appeared. P2P platform brings high interests and benefits, and at the same time also brings a huge risk. The explosive growth of P2P platforms greatly enlivened our country’s financial market in2014. However in2015, in addition to increasing the number of P2P platforms, we should pay more attention to enhance the quality. This year is an "Ebb Tide" era. From the madness to scale operations then to small profit, therefore, the development of domestic P2P industry still has a long way to go.