The social network is very sparse, and not much information has been understood about who is in the network. All networks must start somehwere!
While it will take some time to create an fully efficient referral system, the algorithms set up encourage taking loans from trustworthy endorsers. This further introduces trustworthiness into the network while reward those with successful endorsements.
The network has very few unsuccessful endoresments, yet those with poor credit scores are still being given loans from good endoresments. The network is beginning to grow much more rapidly, as there are more referral nodes.
Dominant endorsers are becoming obvious and should be upgraded to a "trusted" partner. The number of loans increases as well as the success rate. There is now a complete referral system that curated a successful user base!