In Response to Lending Cap Regulations, More & More Chinese P2P Platforms Start to Transfer to F
In August, the China Banking Regulatory Commission (CBRC) issued rules for the online lending industry and set lending caps for both individual and business peer to peer borrowers. In response to these constraints, more and more Chinese P2P lending platforms (especially those with “big lenders”) have started to transfer to financial assets exchanges. Why? Because establishment of these exchanges are normally authorized by local governments with the aim to attract more resources for less developed local capital markets, therefore they may not have such tight constraints on transaction volumes.
At present, it is estimated that dozens of P2P platforms (e.g. Ant Financial, Renrendai.com and Kaixin Financial) have already achieved strategic partnership with or become shareholders of financial assets exchanges. (Source: International Financial News)