zcommodore

Rumor has it that at PD08 today, Prosper confirmed that they still have the $20 Million from the 2nd round of venture capital they received last summer in the bank.  Chatting with someone on IRC, they said the numbers they had seen recently suggested this may be the case and that Prosper is burning through around $5 Million per year.  If this is true, then supposedly they can continue working towards profitability at least another 4-5 years and maybe longer if they can find enough borrowers who pay back their loans.

Now, I have a question.  How did they invest that VC money?  I've heard there is at least one website that suggests you can earn 9-12% if you invest there. I wonder if they've heard of it or have considered investing there?  I understand there may be some risk and liquidity could be a small concern, but even if they only invested 5% of their funds, that would be a nice little income to add to wherever it is they currently have it stored.

Hmm.  I wonder...