190 platforms now have ECSPR license
190 European crowdfunding platforms have now been authorised to operate under the European Crowdfunding Service Provider Regulation (ECSPR).
The pace of approvals has accelerated since the ECSPR became law in November 2023. Since the start of 2024, the European Securities and Markets Authority (ESMA) has approved a further 32 licenses, to platforms including Lande Finance.
However, several others remain unregulated. Lendermarket temporarily paused new lending while it awaited its license, but resumed these activities in February despite its unregulated status.
Croatia-based peer-to-peer lending marketplace Hive5 is also operating without an ECSPR license, as it says that it does not perform regulated activities that require a domestic licence. However, the P2P lender is planning to obtain permissions once it expands its business.
Among the 190 firms that are now being regulated under the ECSPR, 55 are based in France, 27 are based in Italy, and 22 are located in Spain.
The viability of ECSPR approvals varies from country to country as it depends on the domestic regulatory environment. France has a regulatory environment which is particularly friendly towards online lenders, whereas Germany and Poland, for example, have more obstructive regulatory regimes.
Just four German platforms have received ECSPR authorisation, while three Polish firms have been authorised.
Read more: Continental European P2P market forecast to grow by 20pc next year
