I agree with you completely. It's rational for a "hungry" founder to prefer a 50% chance of a $250MM exit to a 20% chance of a $2B exit which is exactly wrong

I agree with you completely. It's rational for a "hungry" founder to prefer a 50% chance of a $250MM exit to a 20% chance of a $2B exit which is exactly wrong for the VC. I like that some investors are wising up to the reality that you can get better outcomes if you make sure the entrepreneur's utility curve is aligned with the investors'. That said, I do think there's a difference between providing the entrepreneur liquidity and buying him a megayacht.