It is 5000% on single bet out of 100.. And 100% loss on other 96 bets... Which makes VC's return on total capital much smaller then 5000%.. But more important

It is 5000% on single bet out of 100.. And 100% loss on other 96 bets... Which makes VC's return on total capital much smaller then 5000%.. But more important high discount rate means much shorter runway for startups.