I have been derelict in my monthly reporting but I'm back.
A couple new developments this month including:
April saw the initiation of my Lending Club only High Rate/High Yield Portfolio. The purpose here is to use the same credit techniques I use in my regular portfolio to reduce risk but then seek the highest yields possible. This is to match the goal of many p2p lending investors who are high yield seekers.
Which type of p2p investor are you? Here is my post on this from Click Here To Continue
By now, most of you BitLendingClub lenders have gotten the email where BLC talks about adjustments made to their credit rating system and access to their Stats page.
The initiation of the credit rating system has been a big help in sorting through loans on the platform and is an attempt to be more proactive in reducing defaulters. Unlike Jam, whose rating system is based almost entirely on the amount of information they have collected on you as borrower, BLC is attempting to do actual credit analysis Click Here To Continue
Lending in Bitcoin is very different than lending your USD or GBP out for lots of reasons. One of the most obvious differences is the newness of the platforms themselves and how their recordkeeping, or lack thereof, affects us as investors.
I have 10 Rules that I use to lend my coin profitable and this is Rule #9: Keep Excellent Records.
Unlike Prosper and Lending Club, who have very good to excellent recordkeeping, you will get NO help with record keeping from any of these platforms. You have Click Here To Continue
The LendIt USA conference, commonly called LendIt 2015, is taking place in NYC closing today. If you couldn't go, here are some cool highlights from the conference
Partnership between On Deck and Prosper : the strategic referral relationship between the two firms, since On Deck does business loans and Prosper does consumer loans, continues and gets more formalized into more of a partnership with joint marketing and future business line long term strategy together.
Lending Club partners Click Here To Continue
The signs of early spring are here and they include warmer weather, pollen and hay fever, putting the winter coats away, and TAXES.
Bitcoin investors and lenders, especially those in the US, have some quirky laws that they have to deal with in order to stay compliant. As I talked about in a previous post, Bitcoin is taxed like property in the US. This means that we have to do the same things with Bitcoin that we do with stock and bond investments and we have to track them the same way without Click Here To Continue
One of the fun things about following peer to peer/marketplace lending is that things are always changing. Sometimes they are good changes, sometimes they aren't. Sometimes they are just changes and we can't tell if they are good or bad either in the short or long term. Things are changing even more and faster in the Bitcoin lending market.
BTCJam has made 3 such changes that are worth noting.
5 Currencies Added to Locked Loans
Just like how BitLendingClub (BLC) added the Brazilian Real to Click Here To Continue
A huge announcement this morning from the Bitcoin lending platform, BitLendingClub. They announced on their blog that they have a new currency for linked loans other than the USD.
To review, USD loans used to be linked to Bitstamp and now they are linked to Bitfinex in order to lock in an exchange rate between USD and BTC for repayment. (Disclosure: I lend on Bitfinex as well although its a little different than standard BTC peer to peer lending). This means a US based borrower can lock in Click Here To Continue
Bitcoin, and specifically Bitcoin (BTC) based peer lending, is a prominent topic here.
A common misconception is that knowing and understanding all the technological and other underpinnings of Bitcoin's use as a medium of exchange and a currency is vitally important to lending in BTC.
It isn't. In fact, it is not important at all.
Here are five reasons why:
We Don't Understand the Underpinnings of the USD but use it anyway
The Federal Reserve regularly publishes information not just on Click Here To Continue
One of the biggest benefits to me personally for doing these monthly reports that I present to you is actually witnessing the changes in my returns in my loan portfolio for myself. I get to see how my Prosper, Lending Club and Bitcoin based returns vary from month to month. My Bitcoin returns in particular can vary quite greatly. January was a terrific month for my portfolio so let's take a look.
One final note, my new High Rate Portfolio did not start until February so my first report on it Click Here To Continue