Peer to Peer Banking – State of the Art

In the wake of Web 2.0 applications, nearly every branch is influenced by this new understanding ofthe Web. The Banking industry is facing a phenomenon called Peer to Peer Banking, where customerstend to know exactly who gets their invested money. They want to know the people behind thecredit instead of an anonymous bank. Since 2005, residents of different countries can lend and borrowmoney to each other using market platforms over the internet. This paper starts with some definitionsabout Web 2.0 and associated techniques relevant for Peer to Peer Banking. After that, selected platformslike Zopa from Great Britain, Prosper from the USA or Smava from Germany and their differentbusiness concepts are introduced to the reader. Additionally, social motivated businesses like Kiva arealso part of this paper. After that current and upcoming challenges...