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Just to clarify, we're debating whether Robinhood is a success and the measure of success being used is "can early investors cash out for a gain?" What if ever
by ryguytilidie 8y ago
Just to clarify, we're debating whether Robinhood is a success and the measure of success being used is "can early investors cash out for a gain?"
What if every company checked that box and couldn't provide lasting value beyond that? Do we still consider this a success because we're posting on a forum run by a VC?
- JumpCrisscross 8y ago> What if every company checked that box and couldn't provide lasting value beyond that? That would mean an overheated late-stage market. (Which recent IPO data haven’t yet made obvious is a thing.)
- argonaut 8y agoIgnoring any one specific company for a moment, an investor consistently able to invest early and time their exits near the peak of each company's valuation would be a roaring success.
- ryguytilidie 8y agoThat's my point. We're saying that Robinhood is a success as a company because an early investor would have had a nice exit? Thats our "success" barometer? I'm going to call BS on that one.
- sokoloff 8y ago> What if every company checked that box and couldn't provide lasting value beyond that? How long do you think that would be a sustainable situation? A high mid to late-private stage valuation is only supported by the promise of subsequent valuations. If every company stopped achieving those subsequent valuations, it would feed back into the private valuations.