Bad news isn't getting any better for dozens of marketplace lending start-ups.
There's going to be a "culling of the herd," which will help weed out winners and losers, said Pat Grady of Sequoia Capital. Grady is one of the venture firm's partners and sits on the board of online lender Prosper.
Industry executives' comments, which came this week at the CB Insights Future of Fintech conference in New York, supported Grady's statements. Ron Suber, president of Prosper, said he was aware of "a lot" of his competitors shopping themselves.