P2P Pence

A clever idea: using P2P networks to connect borrowers and lenders, spreading the costs and risks across a distributed, people-based banking pool. What's interesting, of course, is that if this ever took off it would reduce the power of established banks - and the financial system based on them - considerably. There are, though, clearly lots of risks and uncertainties in the approach which may stifle its growth.

Two companies are mentioned in the article: Zopa, which is British, and Prosper, which is American. (Via Slashdot.)