The video report from China News, states risk is at an alarming rate in China for investors in peer to peer lending. Chinese authorities recently put the hammer down on Ezubo (sometimes spelled Ezubao), shuttering the firm and whisking away its Chairman. The report states that in 2015 some 800 P2P lenders have shut down 3 times as much as in 2014. “More than half were due to runaway bosses”. The “distinct lack” of regulation is partly to blame.
Regulations are expected soon which will “force industry consolidation” and, perhaps, put an end to rampant growth and dodgy platforms.