Skip to content

Dozens of EU platforms in limbo after missing ECSPR deadline


Dozens of peer-to-peer lending and crowdfunding platforms across Europe have been left in regulatory limbo after missing the deadline to become authorised under the European Crowdfunding Service Providers Regulation (ECSPR).

All EU-based crowdlenders were given a deadline of 10 November 2023 to become compliant with the new rules, which aim to harmonise the industry across all 27 markets of the bloc.

By the end of November 2023, more than 110 platforms had become regulated under the ECSPR, with that number expected to hit between 130 and 150 by early 2024. However, this means that there are between 20 and 40 platforms still waiting on final approval to operate in the EU.

Some platforms – such as Lendermarket – have paused lending while waiting to receive their final authorisation. However, Oliver Gajda, executive director of the European Crowdfunding Network, has warned that others may be operating illegally. “There are still significant issues in the application of the ECSPR in praxis, from member states that basically are breaking EU law…to those who have issues understanding the details [of the regulation], and platforms that are equally unsure and are not yet ready to push for fear of legal issues,” Gajda told Alternative Credit Investor. “So, we shall wait a little. On a good note, some platforms have already expanded across borders.”