A blow to the secondary market for RETAIL investors in US P2P loans

P2P lending marketplace Prosper today informed investors via email, that it will close down the secondary market, effective October 27th. Prosper does not operate the secondary market itself, but uses FolioFn, operated and maintained by FOLIOfn Investments, Inc., a registered broker-dealer.

More details in Propser closes secondary market.
I highlight this:
“On all European marketplaces that have a secondary market, it is fully integrated into the platform and not provided by a third party. Prosper and Lending Club are therefore an anomaly in this regard, again caused by regulation. My subjective estimate is that on European marketplaces on average about 20-30% of investors use the secondary marketplace function.”

In the meantime, the UK is moving ahead http://genome.dailyfintech.com/t/a-fixed-income-alternative-p2p-lending-and-wealth-management-in-the-uk/488/1; right @OrcaJord?

The Financial http://www.thefinancialrevolutionist.com/weekly-briefing/Revolutionist’s opinion is:

“While not great news for investors who used the service, we think it’s a smart move by Prosper. Simplifying its business should be the name of the game as the company seeks to find a buyer and/or diversify its funding sources”

Hi @Gregg_Schoenberg Love to hear your take on this. Any move by Prosper is a big deal in the MPL space.