Breaking a rule or two (or turning a blind eye to users that are breaking a rule or two) in an attempt to get large is a tried-and-true startup strategy. If yo

Breaking a rule or two (or turning a blind eye to users that are breaking a rule or two) in an attempt to get large is a tried-and-true startup strategy. If you get large, you'll hopefully have access to the resources required to figure out a way out of your mess, and if you don't - well, most startups fail anyway. This is actually an area where startups have an advantage, because more established competitors have something to lose. An example: the online mortgage lead generation companies were breaking every regulation in the book when they started - mainly due to ignorance. (Who has time to read state mortgage law?) But by the time the attorney generals of various states started suing them, they had the cashflow to begin the very expensive process of getting registered as a mortgage broker in fifty different states. Worked out rather well for the bigger parties.