What Led to Lending Club's Undoing?

The video discusses the discovery of questionable loans at Lending Club, initially uncovered by a data science enthusiast. It highlights transparency issues and potential data manipulation by the company's management to present favorable investment outcomes. The video also explores the broader implications for the peer-to-peer lending industry and Lending Club's efforts to recover, including audits, a new CEO, and attempts to raise capital amidst investor skepticism.

What initially raised suspicions about Lending Club's loan practices?

• A news article about the CEO

• A press release from Lending Club

• An email from a data science enthusiast

• A report from Bloomberg

What was the alleged involvement of Lending Club's management in the questionable loans?

• They were using the loans to manipulate data

• They were unaware of the loans

• They were selling loans to competitors

• They were investing in other companies

What was one of the consequences of the revelations about Lending Club's practices?

• The company received additional funding

• The CEO resigned

• The company was acquired by a competitor

• The company expanded rapidly

What challenge does Lending Club face in securing capital?

• Competition from other peer-to-peer lenders

• High interest rates on loans

• Lack of interest from banks

• Unreliable capital from hedge funds

What is a potential test for the peer-to-peer lending industry mentioned in the video?

• A technological breakthrough

• An economic recession

• A new regulatory framework

• A merger with traditional banks