Depository can use funds at any time, custody does not touch funds, and supervision is limited to the risk reserve of the platform, excluding investors' investment funds.

2. The management of funds by third parties is different:

Depository third-party institutions have no obligation to supervise the flow of funds, but entrust a third party to directly manage and supervise the destination and use of investment funds, and the third party will issue supervision reports regularly to disclose the total amount, flow and use of risk reserves.

Depository refers to the P2P platform to deposit transaction funds and risk reserves in third-party accounts, such as bank accounts and accounts of third-party payment platforms. Yes In other words, if only funds are deposited, the third party will not impose any restrictions on the access of funds. Therefore, depository can not effectively guarantee the safety of investors' funds, nor can it avoid the occurrence of platform running.

3. Different risks:

Under the custody mode, the platform can't use the funds at will, but entrust the funds to a third-party custody institution, which can greatly reduce the losses brought to investors by the closure or running of the platform. It is risky to deposit and supervise the venture capital of the regulatory platform.

Baidu Encyclopedia -p2p (Internet Finance Peer-to-Peer Lending Platform)