There are some phenomenal products in some of the companies that were overfunded and are haunted by past decisions. The valuations at which these companies raised capital set them on the wrong path - a path that fails to attract and reward critical talent, a path that incentivizes excess expenditure for growth at the expense of structuring a... See more

In the past, there have been many attempts at disrupting venture capital:

• The proliferation of angel investors (AngelList, 2010)


• Enactment and regulation of equity crowdfunding (Jobs Act, 2012)


• Cryptonative crowdfunding via token sales (2013)

While many of these efforts were successful at generating a greater supply of passive capital for founders,... See more

You can trace the shift cleary through three eras:

1. Venture Capitalism (pre-2008)
   
   
   • Alpha driven by : Risk and discovery.
   
   
   • Example : Early Google, Genentech, small funds, asymmetric bets.
   
   
   • Purpose : Generate outsize returns on investment.


2. Venture Developmentalism (2008-2020)
   
   
   • Alpha driven by : Coordination under the state.
   
   
   • Example : Uber, Airbnb,

... See more