The FCA has published interim feedback to its July 2016 call for input on its post-implementation review of its crowdfunding rules. The FCA considers that some aspects of the loan-based crowdfunding market pose risks to its objectives. It states that there is a risk of regulatory arbitrage in the loan-based sector and the potential for investors to misunderstand the nature of the products offered. It also notes that the fact that most loan-based crowdfunding firms are operating under interim permissions present risks to existing borrowers where these firms fail to meet the standards for full authorisation. The FCA intends to consult on the following areas to address its concerns on loan-based crowdfunding: (i) rules relating to firms' wind-down plans; (ii) further requirements or restrictions on cross-investment; and (iii) extending mortgage-lending standards to loan-based crowdfunding platforms where the investor or lender is not acting by way of business. The FCA's aim is to publish a consultation paper in the first quarter of 2017.