The peer-to-peer (P2P) market volumes for the first 8 months of this year are comparable to the GDP of Maldives and Fiji, according to an update from the Croatian P2P lender. Robo.cash.
The number of P2P investors would be greater than the population of 52 countries around the world. Analysts at European investment platform Robo.cash shared important facts or observations about the P2P market for “a better understanding” of its scale.
Robo.cash analysts revealed:
- From January to August 2021, all platforms “funded 3.3 billion euros ($ 3.9 billion) in loans.” According to world Bank, â30 out of 176 countries in the world had lower GDP in 2020.â Thus, the P2P market can be âcompared to the economies of entire countries, for example, Maldives or Fiji, whose GDP in 2020 was high to around 3.4 billion euros “.
- The average monthly growth rate of the volume of loans financed on the platforms âwas 9.5% in 2021â. Such an increase was “seen in Amazon stocks in 2020, when during the lockdown, the popularity of online stores increased and people began to use their services more and more actively.”
- The European P2P market âissues loans to individuals and businesses in more than 46 countries around the worldâ. The spread of loans via European P2P platforms âis comparable to the distribution of IKEA products around the worldâ.
- There are âover 100 platforms in the European P2P market, operating in the consumer and business segmentâ. However, this figure is “comparable to the growing market for neobanks in Europe (there are 75 in September)”.
- At the end of August, there were âat least 682,000 P2P investorsâ. The value was “calculated on the basis of statistics of active investors and registered on all platforms examined”. The number of European P2P investors “equals the entire population of Montenegro or the population of Malta and Iceland together”. Moreover, this number is “higher than the population in 52 countries of the world (according to World Bank data for 2020)”. This speaks of “a wide coverage of investors and the growing attractiveness of P2P loans as an investment asset”.
- In August, the average deposit on the Robo.cash platform “is 3,800 euros”. This is the amount that the average four Americans “spend on fast food per year (as of 2019).” Covering these seemingly ordinary costs with investments âmay be a small step towards financial freedomâ.
The Robo.cash team further noted that investors receive around 10% of the income per year. Taking into account the average deposit on the market of 4,100 euros, an average investor “receives 577 euros per year”.
For this amount, you can “rent an apartment in Cyprus for a month (400 euros in Limassol), or pay half the price of an iPhone13 (or just buy an iPhone11)”. In addition, with 577 euros you can ‘donate to charity and offer a place at the shelter with three meals a day throughout the year (around 38 USD or 32 euros is spent on one child per month) “.
The Robo.cash team also mentioned that “by spending such a small amount wisely, you can help people, treat yourself with a little trip and a new purchase, or multiply your investments in order to get even more income from. the future”.
âThe European P2P market (professional and consumer segment) is not difficult to perceive, but a fairly tangible and impressive industry. The market is large enough financially to be compared to the economies of countries around the world. This is quite accessible, since the average investment is on par with the average monthly salary or the cost of fast food, the fact remains that there is still a profitable investment asset.