research

things I read yesterday … 05/07/2008

  • Here Comes the P2P Economy – Harvard Business Online’s Conversation Starter

    Just located the entire HBR article online with no subscription required

    tags: harvard business review, clblog, HBR, p2p

    • It is only a matter of time before these digital systems close the arbitrage enjoyed by large banks, which lend at up to 15% interest but pay only about 5% on capital. Why do business with a bank when your network’s lending and savings interest rates are both 7%? To grasp the power of such a system, imagine your local credit union with the membership and social networking capabilities of MySpace.

One thought on “things I read yesterday … 05/07/2008”

  1. Interesting article Colin.

    Only a few large banks are willing and ready (gulp!) to embrace p2p and social network model for their services.

    The others have too much legacy (and decision processes involed), too much fear of change, etc.

    I personaly think credit unions are the prime candidates to move ahead of the pack with these models. They are more nible but lack the capacity and ressources to apply such models.

    If someone can come up and build a plateform credit unions can jump on for p2p and social network that would be a huge step ahead for everyone.

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