ITEM 8.01 – Other Events.

On September 1, 2025, Prosper Marketplace, Inc. (“PMI”) and Prosper Funding LLC (“PFL”, and together with PMI, the “Company”) identified that an unauthorized third party gained access to the Company’s systems that contain proprietary and confidential information^¹,²,³. The Company promptly initiated its cybersecurity response plans and began taking steps to investigate, contain, and remediate the incident and enhance its security measures with the assistance of cybersecurity experts. The Company has also informed law enforcement.^⁴

There is no evidence of unauthorized access to customer accounts and funds, and the Company’s customer-facing operations continue uninterrupted^⁵. As of the date of this filing, the Company has determined that the incident has not had a material impact on its overall business operations, or on PMI and PFL individually^⁶,⁷.

While the Company’s investigation is ongoing^⁸, the Company has evidence that confidential, proprietary, and personal information, including Social Security numbers, was obtained^⁹,¹⁰, including through unauthorized queries made on Company databases that store customer and applicant data. The Company is still in the process of identifying what information, including the number of records of personal information, was compromised. The Company will make required regulatory and individual notifications on a rolling basis.

The Company has yet to determine the full scope and impact of the incident and therefore the Company has yet to determine whether the incident is reasonably likely to materially impact its financial condition and results of operations, or PMI and PFL individually^¹¹,¹².

The Company remains subject to various risks due to the incident, and an increase in the cost to the Company of its insurance policy covering cybersecurity incidents.

Cautionary Note Regarding Forward-Looking Statements

This Current Report on Form 8-K contains certain statements that may be considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

These forward-looking statements are based on management’s current expectations and assumptions, are not based on historical fact, and are subject to risks, uncertainties and other important factors that could cause actual results to differ materially from expectations as of the date of this filing. Among the factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements are the completion of the Company’s investigation into the incident, the ultimate results from the Company’s investigation, and possible changes in customer sentiment due to the incident.

Readers are cautioned not to place undue reliance on the Company’s forward-looking statements, as they speak only as of the date made and are based on information and estimates available to the Company at the time of this filing. The Company disclaims any obligation to publicly update or revise statements contained herein based on new information or otherwise, except as required by law.