zlacker

>>donsup+(OP)
YC invested in what was clearly an outright fraud? Or did they pivot do hard that nobody noticed?

>>dmitry+A3
A poor decision does not equal fraud.

>>devout+94
Promising a guaranteed 15% return is fraud. There is no place in reality where you can * guarantee * that kind of return.

>>dmitry+g4
For the sake of being a pedant, your statement is incorrect: the U.S. federal fund rate was 15% in 1981, making CDs and T-bills yield 15% APY for the products bought that year. So that kind of return has a place in reality. Granted, those were different times, different economic climate and exceptional fed actions. What you probably mean is that promising anything that exceeds SOFR + say 2 percentage points has a risk premium that should be disclosed.