2021 saw venture capital activity amounting to $612B, a 108% increase from the year prior and a 24% increase in VC deals. But despite the pros, there are some painful pain points attached. DAOs can be a good vehicle for addressing some of the gaps in the traditional VC landscape. Enters a DAO VC.
Venture capital funded more than half of all US public companies in 1979. Thus, representing a third of all stock market’s value. All the top 5 most valuable companies in the US (Apple, Microsoft, Google, Amazon & Facebook) began as VC-backed startups.
Venture funds specialize in funding start-ups that have yet to turn a profit but have high growth potential. Sometimes even returning more than 100x of the initial investment. VCs fund start-ups out of equity rather than debt because startups are cash poor but can have enormous upside potential.
The traditional VC space has obvious pros like big check sizes, resourcefulness, and…
