Hey Bama - not doing too badly thanks - expecting our first baby in about a week, so no startups for me for a while :-)
Not clear what happens to Prosper from here on - but the fact that they've been breaking securities law for the last few years doesn't bode well for a future registration attempt.
Best guess - they use the VC money to maintain the platform and skeleton staff while the loan book winds down, OR they arrange a sale of the loans to a third party who manages them down as they repay (like a bad debt sale - but hopefully at a better rate).
Zopa always had (still has) back up plans to do the latter if we ever needed to. You would hope the Prosper management had a similar fall back.
[Edited to add: Since this thread has been moved into a public forum, I feel I should point out that (despite my user name) I no longer work for Zopa - however, as a Zopa founder and shareholder I could be considered to have a vested interest. Anyhoo - anything I write here should be considered my personal views, and nothing to do with Zopa. Ta.]