Six online investment-linked finance (on-tueop) companies effectively voiced opposition targeting Toss, which is seeking to enter the on-tueop business.
Six companies participating in on-tueop–financial institution linked investments (MoneyMove, MOUDA, HonestAI, 8Percent, PFCT, Hanpass Financial) issued a joint statement on the 10th saying that if a large corporate group and a major financial institution newly enter on-tueop, it is necessary to establish reasonable and predictable standards. Although they referred to a large corporate group and a major financial institution, it appears they are effectively targeting Toss, which is preparing to enter on-tueop.
The on-tueop industry said, "If a large company with significant market influence operates both loan comparison and brokerage and on-tueop, new forms of conflicts of interest and the possibility of distorted competition may arise," and noted, "It is necessary to clarify the principles of fair competition."
They also emphasized that under current regulations, the mid-interest loan market of on-tueop is structurally close to a zero-sum game that is difficult to expand. They said that if large-scale new funds flow in due to the entry of a large company, it could intensify competition and weaken the growth base of existing small and midsize on-tueop operators.
Therefore, they emphasized the need to establish ex-ante management principles when a large company operates both loan comparison and brokerage and on-tueop, or enters on-tueop through an affiliate, including transparency in product recommendation and exposure standards, protection of competitive financial companies' information, fair transaction conditions between affiliates and non-affiliates, and sufficient and objective information for consumers.
The on-tueop industry plans to actively participate in discussions to establish an institutional foundation where innovation and fair competition can be balanced by clarifying the principles of market entry and competition for large corporate groups and major financial institutions, based on opinions from the financial authorities, the industry, and experts.