Founders are worried about losing to competitors who raised more money. In actuality I’ve only seen counter-examples:

Tensor beat magic Eden with 2 orders of mag less $.

Solana beat other L1s with 2 order of mag less.

Jupiter raised 0, all VCs passed.

Less money = more sense of urgency more chip on the shoulder.

If I could, I’d automatically short companies that raise too much, too early. I don’t think founders know how to handle that much money when they don’t actually need it and it almost poisons the well

Building /contractreader, /dropframe and basepaintbot.com | Solidity & full stack dev | https://gallery.so/backseats

I’d say having more than $10m for an early stage team harms and does not help find p/m fit faster