Abstract
Chapter 9 provides that peer-to-peer (P2P) lending has become ever more popular and is now widely used in Australia and China. In contrast, P2P lending is not very common in Japan till recently. Following the birth and growth of P2P lending in the US, some Japanese financial technology (FinTech) startups commenced P2P lending services in Japan. However, Japanese P2P lending services differ from those in the US as they are customised to the needs of the Japanese market and legal regulation. Nonetheless, P2P lending services in Japan, including both the original US and revised Japanese version, have not yet grown as much as those in the US, Australia, and China.
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Notes
- 1.
LIFULL Investment, Notice of business transfer of donation site “LIFULL Social Funding” (December 6, 2019) <https://japangiving.jp/>.
- 2.
Campfire <https://camp-fire.jp/>.
- 3.
READYFOR <https://readyfor.jp/>.
- 4.
Makuake <https://www.makuake.com/>.
- 5.
maneo <https://www.maneo.jp/>.
- 6.
AQUSH <https://www.aqush.jp/>. AQUSH has stopped a new subscription of investment as of June 1st, 2018 and now continuing its business only for the management of already contributed investments.
- 7.
SBI Social Lending <https://www.sbi-sociallending.jp/>.
- 8.
Financial Services Agency, Secretariat explanatory material - Document 1, (February 18, 2019) <https://www.fsa.go.jp/singi/singi_kinyu/market-system/siryou/20210218/01.pdf>.
- 9.
A newspaper article makes this point (Nihon Keizai Shinbun (Nikkei), December 4th, 2019. <https://www.nikkei.com/article/DGKKZO52929360T01C19A2DTA000/>.
- 10.
Note that maneo and other loan-type crowdfunding platforms no longer engage in traditional P2P lending, as it will be discussed later. The mechanism analyzed here is the original scheme used by maneo.
- 11.
Maitreesh Ghatak and Timothy W. Guinnane, 1999, ‘The economics of lending with joint liability: theory and practice’ (1999) 60 Journal of Development Economics 195.
- 12.
For the details, see Hatsuru Morita, ‘ƒ [ƒVƒƒƒ‹ƒŒƒ“ƒfƒBƒ“ƒO‚Ì‹@” ‚ÌŽ–—á‚ð‘è Þ‚É [The functions of social lending: A case study of maneo]’ (2010) 3 GEMC journal 50 <http://www.law.tohoku.ac.jp/gcoe/wp-content/uploads/2011/03/gemc_04_cate3_41.pdf>.
- 13.
Music securities started its business as a crowdfunding platform for musicians. Most amateur musicians have little money to produce compact disks (CDs) for sale, to purchase expensive music instruments, to hold live concerts or to produce amenity goods. Music securities promotes contributions for musician activities and allows them to return the outcomes, such as in the form of CDs, tickets for live performances and amenity goods, to the contributors. With the earthquake, music securities extended its crowdfunding platform business to general needs as well as to musicians. See Music securities <https://www.musicsecurities.com/>.
- 14.
- 15.
Statistics for equity type crowdfunding in Japan can be acquired from the Japan Securities Dealers Association <http://www.jsda.or.jp/shiryoshitsu/toukei/kabucrowdfunding/index.html>.
- 16.
Japan Cloud Capital <https://www.cloud-capital.co.jp/>.
- 17.
DAN Venture Capital <https://www.danvc.com/>.
- 18.
Unicorn <https://unicorn-cf.com/>.
- 19.
See newspaper article, Nihon Keizai Shinbun (Nikkei), December 4th, 2019. <https://www.nikkei.com/article/DGKKZO52929360T01C19A2DTA000/>.
- 20.
There is a rich literature on financial literacy. See, for example, Annamaria Lusardi and Olivia S. Mitchell, ‘The Economic Importance of Financial Literacy: Theory and Evidence’ (2014)52 Journal of Economic Literature 5.
- 21.
Japanese Crowd Funding Association, ‘Crowdfunding Market Research Report f (June 19, 2021) <http://safe-crowdfunding.jp/wp-content/uploads/2020/06/CrowdFunding-market-report-20200619.pdf>.
- 22.
Nikkei, Crowdfunding, the highest number of cases under corona (Dec 24, 2020) <https://www.nikkei.com/article/DGKKZO67602960T21C20A2TJ3000>.
- 23.
Readyfor, New Coronavirus Infectious Diseases: Spread Prevention Activity Fund Special Page <https://readyfor.jp/projects/covid19-relief-fund-02>.
- 24.
Nikkei, Sports reform under Corona (4) Small-lot financing, progress; In the circle of interaction and support with fans (October 16, 2020) <https://www.nikkei.com/article/DGKKZO65066530V11C20A0UU8000>.
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Morita, H. (2022). Marketplace Lending and its Development in Japan. In: Law and Practice of Crowdfunding and Peer-to-Peer Lending in Australia, China and Japan. Springer, Singapore. https://doi.org/10.1007/978-981-19-3834-4_9
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