Prosper raises $17m

American peer-to-peer loan marketplace Prosper has raised $17.2 million in funding.

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Prosper raises $17m

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Prosper's funding round has been led by new investors Draper Fisher Jurvetson and Crosslink Capital who were joined by existing participants Accel Partners, CompuCredit, Omidyar Network, TomorrowVentures and Volition Capital.

Draper Fisher Jurvetson founder Tim Draper and Jerome Contro, general partner and COO of Crosslink Capital, will also join the company's board.

Chris Larsen, CEO, Prosper, says: "With this round of financing, we will continue to accelerate our monthly growth rate to provide even more Americans with an efficient, innovative and social way to obtain and invest in loans for consumers and small business."

Prosper has raised $74.85 million in funding since its launch in 2006 and claims over one million members and more than $236 million in funded loans.

It's primary rival LendingClub has so far secured a total of £52.7 million in VC funding.

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