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You can go to vegas and blow $100,000 in a weekend, but you think it's too dangerous to let people put that in 10 seed stage startups? Because they might lose
by MCRed 11y ago
You can go to vegas and blow $100,000 in a weekend, but you think it's too dangerous to let people put that in 10 seed stage startups? Because they might lose the money?
Further, I'm a sophisticated investor, I've done very well with complex derivative investments. I knew there was going to be a housing bubble in 2001 and profited from it until 2007. How many people were saying there was no bubble at that time?
I'm the very definition of a successful sophisticated investor, but I've been kept out of investing in startups-- the industry where I've worked for nearly 30 years-- because people like you think its "dangerous"?
Requiring me to have $1M in assets does not measure ones sophistication. Make it a $50k a year salary and a swear-under-penalty-of-perjury type form to cover the startup's butt and I'm ok with "accreditation".
Until then, it's just yet another way regulations give rich people better opportunities than regular people.
- danieltillett 11y ago>You can go to vegas and blow $100,000 in a weekend, but you think it's too dangerous to let people put that in 10 seed stage startups? Because they might lose the money? Casinos are highly regulated so I am not sure this is a good example. I actually don't think it is dangerous because people will lose money, I think it is dangerous because scammers would have a major advantage over non-scammers in a deregulated start-up investment market. Like Gresham's Law [1] we would soon be left with a market totally dominated by scammers and all trust would soon be lost in start-ups (i.e 1920s). This was why the regulations in this area were brought in - to restore the trust of the public in the stock market. 1. http://en.wikipedia.org/wiki/Gresham's_law http://en.wikipedia.org/wiki/Gresham's_law
- hnnewguy 11y agoYou are a sophisticated investor, who has been very successful wth complex derivatives, predicted and profited from the housing bubble for 6 years...and you don't have $1MM in assets?
- danieltillett 11y agoWell it is possible that the OP has a serious spending problem, but it does seem a little unlikely to be this successful and have so little.