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LOS ANGELES—“One of the dirty secrets of peer-to-peer funding is that it always starts out with the crowd and then moves exclusively to the institutions,” Jason Fritton, the co-founder and CEO of Patch of Land, tells GlobeSt.com. Fritton is trying to avoid that outcome by finding a balance between the crowd and institutional investors. In essence, his company Patch of Land, which, to date, has not lost any investor capital, is acting as a strict filter, originating hat the crowd and approved institutional investors can handle together.

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