Comments on: Will Facebook Become a Peer to Peer Lender? /future-trends/will-facebook-become-a-peer-to-peer-lender/ Your guide to peer to peer lending Thu, 18 Nov 2010 18:21:35 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: peter /future-trends/will-facebook-become-a-peer-to-peer-lender/comment-page-1/#comment-29 peter Thu, 18 Nov 2010 18:21:35 +0000 /&p=1142#comment-29 Brett, I appreciate your feedback. It sounds like it might be a longshot for Facebook to become a p2p lender. From what you are saying, it looks like it is more likely that a partnership emerges where one of the big p2p players uses Facebook's social network to help with credit assessment and possibly collections. Even so, if something like that emerges it would a huge boost for the industry. Out of the current players Lending Club is the likely candidate considering it started on Facebook. I wonder if they are thinking about something like that down the road. Peter Brett, I appreciate your feedback. It sounds like it might be a longshot for Facebook to become a p2p lender. From what you are saying, it looks like it is more likely that a partnership emerges where one of the big p2p players uses Facebook’s social network to help with credit assessment and possibly collections.

Even so, if something like that emerges it would a huge boost for the industry. Out of the current players Lending Club is the likely candidate considering it started on Facebook. I wonder if they are thinking about something like that down the road.

Peter

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By: Brett King /future-trends/will-facebook-become-a-peer-to-peer-lender/comment-page-1/#comment-28 Brett King Thu, 18 Nov 2010 03:50:26 +0000 /&p=1142#comment-28 The Facebook Bank video has been floating around for a while, it is an interesting concept, but I don't believe that Facebook is really interested as yet in this direction. However, their recent tie-ups with PayPal, etc do mean that Facebook and Payments is a likely area they will pursue. It would be interesting to see if Facebook Credits pass over from virtual currency to real world payments capability. On the issue of peer-to-peer lending, it's entirely possible. However, the problem with Facebook peer-to-peer is they would have to limit it to geographies. The complications with cross-border lending in this way would be a nightmare. Now, there is a precedent for Facebook rolling out places for specific geographies at a time. However, I don't think they could scale Facebook peer-to-peer lending, so I tend to think that this will remain specialized for now. What we might find is that Facebook becomes a platform for rating the credibility of an individual in the social network. Think of eBay's rating system for auction participants, and translate this to some sort of social credit worthiness... Brett King Author - BANK 2.0 The Facebook Bank video has been floating around for a while, it is an interesting concept, but I don’t believe that Facebook is really interested as yet in this direction. However, their recent tie-ups with PayPal, etc do mean that Facebook and Payments is a likely area they will pursue. It would be interesting to see if Facebook Credits pass over from virtual currency to real world payments capability.

On the issue of peer-to-peer lending, it’s entirely possible. However, the problem with Facebook peer-to-peer is they would have to limit it to geographies. The complications with cross-border lending in this way would be a nightmare. Now, there is a precedent for Facebook rolling out places for specific geographies at a time. However, I don’t think they could scale Facebook peer-to-peer lending, so I tend to think that this will remain specialized for now.

What we might find is that Facebook becomes a platform for rating the credibility of an individual in the social network. Think of eBay’s rating system for auction participants, and translate this to some sort of social credit worthiness…

Brett King
Author – BANK 2.0

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