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Not silence. Sequoia posted a letter declaring that their FTX investment is $0 and that this is not a notable fraction of their portfolio. FTX may have been a t
by _bqrf 4y ago
Not silence. Sequoia posted a letter declaring that their FTX investment is $0 and that this is not a notable fraction of their portfolio. FTX may have been a theoretically sound investment for Sequoia because many venture investments are marked to $0, and FTX got to huge-or-zero much faster than any other investment. A company that slowly goes to $0 is equally bad but worse for time-value.
What hurts my brain is that theoretically this investment strategy is sound, but the implementation of it looks like: FTX. It's horrific. It's like total war logic. Logically it works, probabilistically it's reasonable, living it is grotesque and insane.
- clpm4j 4y agoYeah I saw that, but I meant directly from Alfred or Michelle (both had been vocal advocates on Twitter prior to this blowup).
- totalZero 4y ago> A company that slowly goes to $0 Either way, the forward is 0. I'd rather see a company run itself aground by paying its employees and slowly bleeding money than to see it fail due to mis-valuation of its holdings. The former is unfortunate, but the latter is an embarrassment for all stakeholders.