venturecapital

I’ve participated in crowdfunding since before that term existed. 

4 things must be addressed for it to breakout:

1. Highest potential startups avoid it

2. Perceived negatively by VCs

3. Hard to mobilize investor base post-investment

4. As much work as a typical raise


Thoughts on how these can be overcome?

Healthcare investor by day, web3/AI tinkerer by night. 🟪 Host: /venturecapital /theitinerant

Thoughts from working at a crowdfunding VC:

• VC is a self selection game. Good firms get good co's because they had previous good co's. Every cycle some firms break the mold and enter the 'good firm' list. Crowdfunding platform could do that.

• Negative perception is solved by reputation ->

📈 Investing at The Reservist 
💎 Tokenomics & Protocols: http://designingtokenomics.com
🎵 Music 🤝 web3
🎧 Host Ethereum Audible podcast


Crowdfunding cntd:

-> bring winners, add value, don't disclose useful information -> lead to better reputation -> better co's -> better reputation.

It's not easy. Prob with crowdfunding is usually the model and incentives. Most are platforms that win the more deals they have = bad incentives.

A good crowdfunding platform builds itself the way a VC does:

• Hand picked deals
• Aligned incentives => Partners have their own vehicle and crowdfunders become 'LPs' in their deal, alongside the GPs.
• Tech to leverage the crowd (which replaces a GPs rolodex).

It's possible, but very hard.

Almost. I worked at a crowdfunding platform called OurCrowd that almost reached this, but hasn’t quite.

I think with more focus and better investment team members it could have.

Any successful examples of this you’ve seen?