Why I have zero faith in crypto venture capitalists
The author has faith in their ability to make money<p>He has no faith in seeing their presence as validation in the project<p>That’s an accurate view and he shouldn’t limit that to crypto VCs, its the same in other venture capital. Crypto just helped lower the distortion field, while non-crypto VCs just still have better marketing unbeknownst to him<p>They all get discounted and preferential liquidity if they’re any good at deal making. That’s what you hire a VC to do<p>The crypto VCs are absolutely crushing it in deal flow, some of the things they negotiate are phenomenal such as perpetual block rewards that never get diluted, while node operates are all competing amongst each other for their own share. Fund performance decks are way below reality as it is very dependent on the limited partner’s time in the fund, unlike in a liquid fund strategy a private equity investor only has exposure to the positions and contracts they got exposure to from after they joined the fund and exited the fund.