Online Lending: Emerging as the Leading Asset Class in the Digital Era

Category: Business

Introduction In the rapidly evolving finance and investment landscape, online lending has emerged as a leading asset class, attracting individual and institutional investors. With the expansion of technology and the internet, lending has transitioned from traditional banks to online platforms, offering investors an array of opportunities and benefits. This article is all-encompassing and covers various aspects of the subject matter. We will explore why online lending has gained prominence and is considered a leading asset class. Understanding Online Lending Online or peer-to-peer (P2P) lending or marketplace lending is a financial practice that connects borrowers with individual or institutional lenders through online platforms. These platforms use advanced algorithms and data analytics to assess the creditworthiness of borrowers and match them with lenders willing to fund their loans. This model bypasses traditional banks and financial intermediaries, directly linking borrowers and lenders.