Maybe all the nation’s venture investing shouldn’t be concentrated in a single communist city and a single idiotic bank.
What if investing in new companies spreads throughout the country so we don’t have these systemic risks and we don’t have a single state that can impose their draconian communist fantasies on those new companies?
I don't know how, but there must have been some kind of fuckery with the free market for such a concentration within one bank to build.
Honestly, it sounds like there was a lot herd mentality at work. The “nobody gets fired for choosing IBM” effect. I have no clue how much of role that played, but I bet it explains some of it.
They were also apparently giving loans to founders that the founders probably wouldn’t have gotten anywhere else so that probably helped convince the founders to use them too.
The galaxy brain capital allocators were once again worse at risk management than the average farmer.
