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I don’t think FTX is the right contrast here. This document is mostly about business realism: revenue, margins, etc. VCs did get burned by speculative investin
by smeeth 2y ago
I don’t think FTX is the right contrast here. This document is mostly about business realism: revenue, margins, etc.
VCs did get burned by speculative investing in the 2019-21 period but FTX wasn’t like the others. At the time of its collapse, FTX was profitable and had $1+ bn in revenue, its doom had nothing to do with product market fit, revenue, margins, etc.
Quibi might be a more relevant example of a learning opportunity.
- dvt 2y ago> I don’t think FTX is the right contrast here. Comparing this article to the (now deleted) SBF profile is night and day.
- smeeth 2y agoI know, my point is that I fail to see how the FTX collapse would lead them to a tone change. > Maybe FTX did teach them something The new tone is all about business fundamentals and the FTX collapse had literally nothing to do with business fundamentals. If this is the lesson they learned they learned the wrong lesson.