Cryptocurrencies and blockchain technology are shaking things in every industry and the way it’s being operated. The major impact of blockchain and cryptocurrencies is seen in the fintech industry at a fast pace. Right from KYC verification to year-end reconciliation processes can be seamlessly surpassed with appropriate blockchain solutions with transparency and legitimacy.

Blockchain changes the way the banking, insurance sectors with decentralized data management, consensus governance, smart contracts, immutable and traceable records. Incorporating blockchain solutions in the fintech processes makes it more reliable for the entire community wheel. Many new-age investors are showing interest in purchasing white-label P2P crypto lending software and launching their platform to run a hassle-free business.
kajolvj22 5 january 2021, 7:46

P2P lending is nothing but a way to allowing customers and novice entrepreneurs to access capital through the internet. It is similar to, taking a loan out from the bank, here the bank will be one of your peers.

P2P lending really helped a lot of small entrepreneurs who are looking to borrow money and to open up their new business. In this article, let's get to know what P2P lending is and how P2P lending works.


Peer to Peer lending is a platform that connects a borrower who is seeking a personal loan from an investor. The investor can earn higher returns from their investment than conventional banking systems in P2P lending channels.
kajolvj22 30 december 2020, 5:19

Peer-to-Peer lending

The peer-to-peer lending platform basically enables transactions between two individuals without any involvement of financial bodies, third parties. This P2P lending platform connects the borrowers directly to the investors. This platform developing company sets norms and terms and enables transactions.

Here is the step by step procedure on how it works!


1. Initially, the investor has to register in the P2P lending platform. Once the registration is successful, a list of borrowers with norms appears. Then investors can browse borrowers and offer them their loans, depending on their investment amount, tenure and other norms.

2. It is totally up to the investors who can decide the investment amount and the interest rate at which they would like to afford a borrower.

3. So all these processes are done within the lending platforms directly. In some cases, the lending platform offers the borrower by choosing the lowest interest rate offered by the participating investors.

4. Similarly, like investors, borrowers can browse the investor list and send requests to offer their loans. Investors can view all this information on their page.

5. Investors can make an offer if and only the borrower is active. Once the borrower accepts the loan amount during the active period, then there are no further listing offers!

6. The peer-to-peer lending platform company collects all the necessary documents from the borrower and executes the required agreements. P2P lending platform then collects loan amounts from the investors and deposits in the borrower account.

7. Once everything is done, the investor gains profits from the interest paid by the borrower and also the lending platform company earns a little amount of profit!

I hope this was informative for people who don't have any idea about how peer-to-peer lending works.

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lillian 12 june 2020, 8:32