6 ms·

The more I read about this, the more Im absolutely dumbfounded that Sequoia poured money into them. It took an outside executive 1 day to find out how effed the

The more I read about this, the more Im absolutely dumbfounded that Sequoia poured money into them. It took an outside executive 1 day to find out how effed their balance sheet was. Did Sequoia not perform any due diligence?

nojito 4y ago
Most of the partners lost it when SBF mentioned that his dream was to create an app that lets people buy bananas on FTX
- turmeric_root 4y ago
  I LOVE THIS FOUNDER!!
  - blitzar 4y ago
    I am a 10 out of 10!!
ilrwbwrkhv 4y ago
How many of that billions flowed into Sequoia pockets too is the question ;)
- notch656a 4y ago
  Exactly lol. Way too many people are getting hung up on how sophisticated VC / funds could have invested in FTX/SBF. We often forget these "investors" want above all an exit plan where they get their money back and more. They couldn't give a shit if the company is run with a balance sheet drawn in mspaint with the spraypaint tool by teenage ponzi schemers as long as they know they get the exit before it topples down.
JauntTrooper 4y ago
One interesting story that's gotten a little lost in the chaos is that after Sequoia invested in FTX, Bankman-Fried also invested $200M into two Sequoia funds: https://www.ft.com/content/993942cb-1a7e-4689-9d9d-8434d4a74cc5 https://www.ft.com/content/993942cb-1a7e-4689-9d9d-8434d4a74...
- zktrust 4y ago
  doesn't make sense. if this guy invested 200M USD into Sequoia and then Sequoia invested 150M into FTX. This is not even breaking even and also washtrading.
  - thisarticle 4y ago
    Got Sequoia’s name on their site though didn’t it?
zktrust 4y ago
True. Excellent.
xwolfi 4y ago
They were too busy learning League of Legends to care.
thisarticle 4y ago
You think Sequoia wasn’t made whole (or more)? They likely received tokens and immediately cashed them out (tokens which cost FTX nothing to produce).
- detaro 4y ago
  According to themselves, they've lost 150 million: https://twitter.com/sequoia/status/1590522718650499073 https://twitter.com/sequoia/status/1590522718650499073
  - thisarticle 4y ago
    Right.

nojito 4y ago

Most of the partners lost it when SBF mentioned that his dream was to create an app that lets people buy bananas on FTX

turmeric_root 4y ago
I LOVE THIS FOUNDER!!
- blitzar 4y ago
  I am a 10 out of 10!!

ilrwbwrkhv 4y ago

How many of that billions flowed into Sequoia pockets too is the question ;)

notch656a 4y ago
Exactly lol. Way too many people are getting hung up on how sophisticated VC / funds could have invested in FTX/SBF. We often forget these "investors" want above all an exit plan where they get their money back and more. They couldn't give a shit if the company is run with a balance sheet drawn in mspaint with the spraypaint tool by teenage ponzi schemers as long as they know they get the exit before it topples down.

JauntTrooper 4y ago

One interesting story that's gotten a little lost in the chaos is that after Sequoia invested in FTX, Bankman-Fried also invested $200M into two Sequoia funds: https://www.ft.com/content/993942cb-1a7e-4689-9d9d-8434d4a74cc5 https://www.ft.com/content/993942cb-1a7e-4689-9d9d-8434d4a74...

zktrust 4y ago
doesn't make sense. if this guy invested 200M USD into Sequoia and then Sequoia invested 150M into FTX. This is not even breaking even and also washtrading.
- thisarticle 4y ago
  Got Sequoia’s name on their site though didn’t it?

zktrust 4y ago

True. Excellent.

xwolfi 4y ago

They were too busy learning League of Legends to care.

thisarticle 4y ago

You think Sequoia wasn’t made whole (or more)? They likely received tokens and immediately cashed them out (tokens which cost FTX nothing to produce).

detaro 4y ago
According to themselves, they've lost 150 million: https://twitter.com/sequoia/status/1590522718650499073 https://twitter.com/sequoia/status/1590522718650499073
- thisarticle 4y ago
  Right.