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“It’s VC arbitrage.” The problem with arbitrage is that everyone wants to capture it, since it’s basically free money. Not in SV? You only need 1/4 the funding
by ojbyrne 8y ago
“It’s VC arbitrage.”
The problem with arbitrage is that everyone wants to capture it, since it’s basically free money. Not in SV? You only need 1/4 the funding.
- bhelkey 8y ago> As you can see, the $3.35M I raised at a San Francisco valuation netted me over $4.5 million of purchasing power in Philadelphia. 3.35 / 4.5 = 74.4%. 3/4 the funding not 1/4.
- ojbyrne 8y agoArbitrage == information asymmetry. It gets reduced over time (this post and comment will help).