Research on the Efficiency Mechanism of P2P in China Based on Financial Function

Abstract

Based on the data of Internet Finance, the paper analyzes the efficiency mechanism of P2P lending from the aspect of financial function. Through comparing and analyzing the data between the P2P lending platforms, combined with China's current economic situation, and expounds the efficiency mechanism of P2P lending from five aspects, including market breadth, market depth, capital utilization efficiency, information asymmetry and risk reducing. On this basis, the current risks of P2P lending platform are summarized, relevant solutions are proposed.