Lenders face great uncertainty because of the information asymmetry problem in peerto-peer (P2P) marketplaces. This paper studies an online feature on a P2P platform, which allows lenders to seek information directly from the borrower of a loan, and examines the impact of the direct lender-borrower communication on the funding outcomes and the loan performance. Our analysis results show that th...

In this study, we drew from the existing online trust model to develop a specific model of online lending platform trust from the perspectives of cognition-based trust and affect-based trust. Trust between lenders and borrowers have been discussed a lot but there are no empirical studies focusing on trust toward lending platforms. The dearth of the relevant studies on this aspect indicates the ...

Online peer-to-peer (P2P) lending has developed fast around the world in recent years; however, studies regarding gender discrimination and its rationality for developing countries are limited. Gender discrimination towards borrowers and its rationality in P2P lending in China are studied in this paper. Using data collected from PPdai.com, one of the largest P2P lending platforms in China, we f...

We assess social influence on borrowers’ default decisions in a peer-to-peer lending market. Our analysis suggests that online borrowers are significantly influenced by defaults in their social networks. A friend’s default decision more than doubles a user’s default rate. We also find that not all friends have equal influences. The social influence is highly significant among online friends mad...

1. ABSTRACT Peer-to-peer systems have been enjoying increasing popularity due to claims of being able to harness huge amounts of storage without the drawback of having to trust and rely on a central point of control. These systems create various issues that are not easy to solve. At this time, existing peer-to-peer systems offer solutions for some of the issues. I am engaged in exploring differ...

Online peer-to-peer (P2P) microloan lending practice is becoming prevalent worldwide. However, information asymmetry between lenders and borrowers in this market may create adverse selection and moral hazard problems that could eventually lead to a high risk of loan default. In the proposed study, we will develop a model to evaluate how imitation and language analysis can reduce information asy...

We argue that the core problem facing peer-to-peer systems is locating documents in a decentralized network and propose Chord, a distributed lookup primitive. Chord provides an efficient method of locating documents while placing few constraints on the applications that use it. As proof that Chord’s functionality is useful in the development of peer-to-peer applications, we outline the implemen...