VC’s Think Cryto-Deals Are A Bubble

Silicon Valley venture capitalists are wary of the crypto-currency revolution and believe that it’s a bubble because:

  • the fundamentals don’t add up;
  • peer to peer, if good enough, will soon become B2C;
  • security is questionable and many have lost everything; and
  • if you buy a token it does not come with any voting rights.

Crypto entrepreneurs like it because they don’t have to deal with the “smart money;” and most crypto-companies don’t have a proven product from which the buyers will see real sustainable gains.

About JeffKoeppel

I am a corporate/securities attorney in the Washington, DC area. Prior to joining the firm, I was a Senior Attorney Advisor in the Division of Corporation Finance at the U.S. Securities and Exchange Commission. I am a member of the Bars of the States of Maryland, New York and the District of Columbia. You can also follow this blog on LinkedIn at:
This entry was posted in accredited investor, balance, checkbook, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, deposits, Funding Portals, Investments, Jobs, Legislative Intent, review, SEC, Small Business, technology, VC, Venture Capital, Wall Street and tagged , , , , , , , , , , , , , , , , . Bookmark the permalink.

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