5 ms·

Whatever VCs invested in it deserve to lose their money. Theranos was a learning opportunity

gostsamo 3y ago
Not sure why you were flagged, but many people handling millions say that they can do it because they know how to do it. There is a case to be made that some of them actually don't.
- masswerk 3y ago
  Also, a certain corrective factor is required to make the "because" in this argument work.
malfist 3y ago
I don't agree. A conman's mark may be foolish, but it is not their fault they were conned and they don't deserve to be punished. The conman does.
- 11101010001100 3y ago
  You ask to see the data and agree to sign an NDA. If the company does not agree to this, then you walk. IF the company agrees, but then shows fraudulent data, then you are fucked.
  - dmbche 3y ago
    Actually I think you can sue for damages since the defrauded you, so they probably wouldn't agree to the NDA
    - tyingq 3y ago
      Someone selling a pure bullshit idea may not have many resources to extract via a lawsuit.
- deleted 3y ago
  [deleted]
- pessimizer 3y ago
  VCs aren't marks. They're fencers, hoping to get rid of the product before anyone realizes it's worthless or stolen. The (possibly sometimes subconscious) reason they don't care to deeply investigate is because if they're convinced by a shallow inspection, they're pretty sure they'll be able to convince others. It's a greater fool shockwave, pretending to buy into something and betting that you can get someone else to buy into it before the bottom falls out. Not that you know for sure the bottom will fall out, but if you're going to buy in based on how marketable the pitch is, examining it too hard might weaken that pitch or make it fall apart. In that case you've wasted time and money and have to find something else. If you're committed, the last thing you want to do is examine the business; you're shortening your bullshit runway.
- The_Blade 3y ago
  I like the take of Joseph "Yellow Kid" Weil as well as the guy who sold the Eiffel Tower... twice to conflate movie quotes, a fool and his money were lucky enough to get together in the first place, and we just can't help ourselves
- 8note 3y ago
  Professional investors owe a duty to due diligence to whoever they're investing for. Theranos was unreasonable on the face of it. VCs were among the conmen, rather than the marks
notatoad 3y ago
we really need to stop talking about these situations with legitimate terminology. They aren't "VCs" or "Investors". They're marks, and they got scammed. "you can't cheat an honest man" definitely applies.

Not sure why you were flagged, but many people handling millions say that they can do it because they know how to do it. There is a case to be made that some of them actually don't.

masswerk 3y ago
Also, a certain corrective factor is required to make the "because" in this argument work.

malfist 3y ago

I don't agree. A conman's mark may be foolish, but it is not their fault they were conned and they don't deserve to be punished. The conman does.

11101010001100 3y ago
You ask to see the data and agree to sign an NDA. If the company does not agree to this, then you walk. IF the company agrees, but then shows fraudulent data, then you are fucked.
- dmbche 3y ago
  Actually I think you can sue for damages since the defrauded you, so they probably wouldn't agree to the NDA
  - tyingq 3y ago
    Someone selling a pure bullshit idea may not have many resources to extract via a lawsuit.
deleted 3y ago
[deleted]
pessimizer 3y ago
VCs aren't marks. They're fencers, hoping to get rid of the product before anyone realizes it's worthless or stolen. The (possibly sometimes subconscious) reason they don't care to deeply investigate is because if they're convinced by a shallow inspection, they're pretty sure they'll be able to convince others. It's a greater fool shockwave, pretending to buy into something and betting that you can get someone else to buy into it before the bottom falls out. Not that you know for sure the bottom will fall out, but if you're going to buy in based on how marketable the pitch is, examining it too hard might weaken that pitch or make it fall apart. In that case you've wasted time and money and have to find something else. If you're committed, the last thing you want to do is examine the business; you're shortening your bullshit runway.
The_Blade 3y ago
I like the take of Joseph "Yellow Kid" Weil as well as the guy who sold the Eiffel Tower... twice to conflate movie quotes, a fool and his money were lucky enough to get together in the first place, and we just can't help ourselves
8note 3y ago
Professional investors owe a duty to due diligence to whoever they're investing for. Theranos was unreasonable on the face of it. VCs were among the conmen, rather than the marks

notatoad 3y ago

we really need to stop talking about these situations with legitimate terminology. They aren't "VCs" or "Investors". They're marks, and they got scammed. "you can't cheat an honest man" definitely applies.