Has It All Become a Ponzi Scheme?

Just a couple of loans going south on TC, you are fortunate, I seem to remember a post on their VIP forum that suggested that their loan book had close to a thousand loans in default,  I  personally  have around 50 of them and I agree I  would  accept a 43% return in a heart beat

I agree, most people dream of a 43% recovery, but that in itself says a whole lot about the state of the P2P lending sector

At the time the loan was made the SM was so liquid a Savingstream account (as Lendy was then) was almost the same as an instant access bank account.  Most investors thought they could get out of a loan immediately, indeed often a loan pat put up for sale would often be gone by rhe time the page refreshed.  This was aided by INPL where it was possible to game the system and Lendy ending up taking the loan part itself.  It briefly backed up around October 2016 but soon returned to being very liquid but now, with the withdrawal of INPL and emergence of more poor performing loans it is illiquid, but remains good for longer dated ones.

Bach to PBL155, I took some originally for reasons as above, but sold it within a couple of months

Imaginary liquidity was implicated in the 2008 financial fiasco .. people were willing to invest in junk, without looking hard, on the assumption they could pass the parcel if/when the clouds gathered. Little has been learned. And burying losses in the holding accounts, off balance sheet, or just kicking them down the road, is another well known trick (look at how most banks are valuing their Greek bonds in their asset accounting). 'Hasn't happened yet' is not the same as 'won't happen'. If you want to scare yourself, or at least scare your offspring (if any) I recommend 'Planet Ponzi', although you may need to acquire a few extra zeros before you try to make sense of it.