VC as an asset class encompasses a lot of different risk/reward profiles What you're describing is more typical of a seed fund that is counting on one deal to

VC as an asset class encompasses a lot of different risk/reward profiles What you're describing is more typical of a seed fund that is counting on one deal to return the portfolio In a growth deal like this, esp with such an old company by VC terms, funds tolerate lower upside in exchange for capped downside and predictable returns, given that the chances the chances of complete failure/bankruptcy are comparatively less