Before answering that, let’s look at the situation from the sidelines — the way funds see it.
Slowly but surely, SMEs are moving from banks to lending platforms. Despite being the oldest financial institutions, banks are losing ground as businesses look for faster, more accessible funding.
Why do they choose P2P lending?
Lower operational and administrative costs allow P2P platforms to offer:
🔘 Competitive interest rates
🔘 Faster loan approvals
🔘 Easier access to capital for businesses that may not qualify for bank financing
Funds see this change clearly, and they know what's coming. That's why they invest in this market:
🔘 Carlyle Group & Citigroup
Carlyle has partnered with Citigroup to provide asset-backed financing to fintech lenders. As head of asset-backed finance at Carlyle, Akhil Bansal noted:
"Demand for scalable and tailored asset-backed financing solutions from fintech lenders has increased as they mature and seek efficient ways to fund their growth."
🔘 Citigroup & Apollo Global
Citigroup has also partnered with Apollo Global Management on a $25B private credit and direct lending program. As global head of private credit at Moody's Ratings, Ana Arsov said:
"The partnership is yet another example of the rapid growth of Private Credit into mainstream finance."
🔘 Fortress Investment Group & Prosper Marketplace
Prosper Marketplace, one of the first P2P platforms in the U.S., signed a $500M forward flow agreement with Fortress Investment Group.
Under this agreement, institutional buyers commit to purchasing a portion of loans originated on the platform.
P2P lending is a strong alternative in volatile markets. The market size has already hit $176.50 billion in 2025 and is projected to increase from $222.90 billion in 2026 to approximately $1,602.5 billion by 2035.
Funds allocate capital here because it offers:
🔘 Real collateral
🔘 Transparency
🔘 Predictable cash flow
When institutional money enters a market, you know there's a clear reason behind it. They're not interested in gambling and risking their money.
You, as retail, can start investing in real businesses with as little as 100 USDC, and this market won't let you down.