The hottest Venture Capital Substack posts right now

And their main takeaways
Category
Top Business Topics
Newcomer 235 implied HN points 09 Feb 24
  1. US VCs face scrutiny for investing in Chinese companies linked to national defense technologies.
  2. There is concern about US venture capital flows aiding China's advancements in chips and AI, posing national security risks.
  3. Some VCs may have overlooked the potential negative impacts of their investments on US interests and security.
The Algorithmic Bridge 180 implied HN points 19 Feb 24
  1. Sam Altman owns OpenAI's VC fund and the company is working on creating superintelligence before running out of cash.
  2. OpenAI is developing a web search product to challenge Google, and they are also improving YOLO runs and adding new controls to ChatGPT.
  3. There is controversy with Sarah Silverman's lawsuit against OpenAI, Andrej Karpathy has left the company, and there are debates around Sora being a 'world simulator' or an overhyped video-maker.
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Next Big Teng 216 implied HN points 05 Feb 24
  1. Consumer investing is high-risk, high-reward, with potential for astonishingly large upside.
  2. There has been a shift over the past decade with consumer companies now accounting for less unicorn club value.
  3. In consumer investing, the top companies dominate the market, making little room for error but offering potential for significant returns.
Not Boring by Packy McCormick 156 implied HN points 20 Feb 24
  1. Venture capital is considered to be the best asset class due to its ability to fund innovation and high potential returns.
  2. Despite its risks and failures, venture capital has historically delivered strong returns and funded groundbreaking ideas.
  3. Venture capital's free lunch concept is the idea that through the failures and successes in investment, society benefits from innovation without direct costs.
Newcomer 1808 implied HN points 31 May 23
  1. Venture capital supports unsustainable models to achieve scale, like with tech giants Apple, Google, and Amazon.
  2. Companies like Uber and Airbnb, initially fueled by VC funding, now face challenges as they struggle with profitability.
  3. VC funding has fueled a culture of excessive capital consumption, leading to concerns about sustainability and the future of innovation.
Implications, by Scott Belsky 707 implied HN points 19 Sep 23
  1. The venture capital world is facing harsh realities and there are lessons to be learned about creating great products from failed ventures.
  2. Adopting AI requires a '4 P's' framework: Play, Pilot, Protect, Provoke.
  3. Financing for startups should prioritize product-led growth, focus, and discipline over raising large amounts of capital.
The Uncommon Executive 99 implied HN points 22 Feb 24
  1. Yue Zhao is passionate about helping minorities succeed in the business world, as she believes the best opportunities are unfairly distributed to white men.
  2. Yue Zhao started her career in engineering, worked at prestigious companies like McKinsey, Thumbtack, and Instagram, and is now a venture partner at LifeX Ventures.
  3. Yue Zhao aims to use her Substack newsletter to share insights and advice to help minorities and women advance in their careers and personal lives.
Investing 101 106 implied HN points 17 Feb 24
  1. Understanding the dynamics of healthy relationships is crucial in the world of tech and startups, especially regarding venture capitalists.
  2. Venture capitalists often become overly concerned with seeking validation and can struggle with providing valuable feedback due to various insecurities.
  3. The feedback process in venture capital, known as The Trough of Feedback, can be challenging due to the balance between honesty, long-term relationship building, and reputation management.
Fintech Business Weekly 59 implied HN points 10 Mar 24
  1. TabaPay is in talks to acquire Synapse, a banking-as-a-service platform, to potentially mitigate damage caused by a past financial incident.
  2. Oxygen, a neobank, is pivoting to focus on 'health solutions' temporarily, suspending its banking services.
  3. Trade groups are suing to block a new CFPB rule that limits credit card late fees, arguing it restricts choices and responsible credit card use.
The Future, Now and Then 79 implied HN points 26 Feb 24
  1. Chris Dixon's book 'Read Write Own' discusses the impact of blockchain technology, but fails to address the potential downsides of Web3 projects and the financial risks involved.
  2. Dixon's vision for Web3 revolves around tokenomics and a future where everyone is an owner and investor, which can lead to increased financial precarity and reliance on speculative investments.
  3. The book highlights Dixon's overconfidence in blockchain technology, lack of detailed understanding of technical aspects, and his past involvement in hyped NFT and play-to-earn ventures, casting doubt on his ability to provide a realistic and innovative vision for the future of the internet.
SatPost by Trung Phan 84 implied HN points 23 Feb 24
  1. Many famous YouTubers are quitting after about a decade due to burnout, desire for new challenges, and moving on to new things.
  2. Václav Havel's essay 'Second Wind' explores the choices an artist has after initial success: repeat past successes, build on them in the same lane, or try something completely new for a 'second wind.'
  3. YouTubers like Tom Scott, MatPat, and Seth Everman are examples of creators seeking their 'second winds' by quitting YouTube after around ten years of success.
Law of VC 89 implied HN points 20 Feb 24
  1. The Carta Policy Team released a comprehensive VC Regulatory Playbook that simplifies the complex SEC rules for emerging fund managers.
  2. The playbook covers crucial topics including the regulation of fundraising, private funds, and fund managers along with an ERA Compliance Checklist.
  3. Fund managers can learn about specific regulations such as the Section 3(c)(1) and 3(c)(7) exemptions, the requirements for venture capital funds, and the importance of filing a Form ADV.
A Letter a Day 98 implied HN points 10 Feb 24
  1. When starting a venture capital firm, consider going against conventional wisdom and focus on a unique approach. Josh Kushner and Kareem Zaki emphasize the importance of building a firm that is hands-on and sector-agnostic, going beyond traditional boundaries in investment strategies.
  2. In consumer investments, look at trends like the rise of creators and the power of brands. Thrive Capital highlights the significance of coupling an extraordinary product with strong brand presence across different industries, not just limited to direct-to-consumer businesses.
  3. Consider major life decisions beyond a specific industry. The intersection of software and hardware, growth in healthcare technology, and trends like brain-machine interfaces offer promising investment opportunities. Keeping a flexible mindset and being able to adapt to fast-paced changes is crucial in today's evolving landscape.
Newcomer 982 implied HN points 07 Jun 23
  1. Former Facebook research scientists raise $20 million for a foundation model startup called Contextual AI
  2. Contextual AI's foundation model for enterprises aims to address existing model challenges like hallucination and data privacy
  3. Competition in the foundation model space is intense, with companies like Cohere and Vectara already in the game
Liberty’s Highlights 1022 implied HN points 27 Apr 23
  1. Newsletter and podcast by the author will continue but may have a more variable publishing schedule
  2. Author joined OSV due to alignment with values and desire to have greater impact with help from others
  3. OSV supports various creative ventures, including media platforms like podcasts, newsletters, and more
Insight Axis 296 implied HN points 05 Nov 23
  1. Venture capital began from the dot-com bubble era, where tech entrepreneurs set up investment firms to fund new, high-growth technology companies.
  2. VCs specifically invest in early stage companies with potential for rapid growth and huge profits, aiming to 10x their investment in 5 years.
  3. Venture capital faces challenges like misaligned incentives, high-risk investments, and the need to balance finding unicorns without funding too many duds.
Investing 101 59 implied HN points 24 Feb 24
  1. The history of venture capital reveals a significant role played by hardware companies in the tech industry's early days, tracing back to the 1950s and even earlier.
  2. The decline in hardware investment by VCs in favor of software has had implications on manufacturing and American industrial capabilities, with a recent resurgence in manufacturing employment in the US.
  3. The recent interest in hard tech and manufacturing by VCs has led to a new wave of investment, sparked by success stories like SpaceX and Nvidia, raising concerns about hype cycles and the need for a deeper understanding of the complexities of hard tech startups.
SaaS Engineering 137 implied HN points 07 Jan 24
  1. Understanding the difference between preferred and common stock is crucial for calculating holding values.
  2. Writing down investments only makes sense if a company's value decreases below the size of its liquidation preference relative to the investment.
  3. High valuations may not always benefit investors due to misaligned incentives, especially in scenarios where the company's valuation is higher than its true worth.

YC

Venture Prose 519 implied HN points 21 Aug 23
  1. YC-backed companies' valuations have significantly increased over the past years due to market conditions and increased capital availability.
  2. When investing in startups, it's crucial to have access to top founders, win deals, and diversify your portfolio with at least 20 deals to maximize returns.
  3. High valuations and early-stage startup frenzy can sometimes lead entrepreneurs to lose sight of the core values and essence of their journey.
Venture Prose 539 implied HN points 13 Aug 23
  1. Venture capital world has become overly competitive, leading to deals made without proper diligence or due consideration.
  2. Consensus in the industry spreads rapidly, leaving founders vulnerable to hype and unfounded opinions.
  3. Investors often don't provide enough guidance or mentorship to young founders, leaving them to run companies without sufficient support.
Venture Prose 1058 implied HN points 12 Mar 23
  1. The Family organization had a lot of ambitious individuals and a strong sense of community, but struggled to find a sustainable business model.
  2. Despite the energy and enthusiasm within The Family, they faced challenges with loose processes, lack of focus, and poor accountability.
  3. Individuals within The Family, like Oussama, played significant roles in both the success and failure of the organization, showcasing the importance of leadership and responsibility.
Equal Ventures 99 implied HN points 25 Jan 24
  1. Equal Ventures focuses on proactive research and industry connectivity to have a point of view on markets and build thoughtful partnerships with founders.
  2. Equal Ventures supports founders with continuous learning, frameworks, and best practices to help them navigate challenges and succeed in their industries.
  3. Equal Ventures' slow investment pace allows for deep alignment and meaningful support for portfolio companies, building long-term relationships beyond current roles.