Exchange Corporation K.K. , a Tokyo, Japan-based provider of a peer-to-peer lending service, has received an investment undisclosed amount the venture capital fund, 500 Startups.
The company (“ExCo”) intends to use the proceeds from the investment to continue to develop its P2P lending service, AQUSH, which is designed to offer credit-worthy people in Japan the chance to borrow money at a better rate than they would get from a traditional lending company, and empower retail investors to invest in loans that provide a higher return on investment than available from time deposits or money market accounts.
The average size of loans made on the platform since launch is over ¥445,000 (US$5,750) per borrower while lenders have on average invested more than ¥302,700 (US$3,750) each.
MountainView, CA.-based 500 Startups is an early-stage seed fund and incubator program that invests primarily in consumer and internet startups, and related web infrastructure services.