“Alternative lending is dead,” said Rob Frohwein, co-founder and CEO of Kabbage, “but not because of the hiccups that have occurred in the industry.”

LendingClub was the first of those hiccups this year. These hiccups have left some investors wondering whether the promise of alternative lending - wider access to capital, less burdensome application processes, all possible through the harnessing of technology - had faded in 2016.