I an relatively sure most mid-tier crypto VCs don’t do any form of legal due diligence on the structures they are investing in.
VCs are investing in a Delaware C-Corp where founders haven’t assigned pre-existing IP, no founder is in the US (but everything else is), founders haven’t been background checked via a sumsub or equivalent, no references at all for the most part (aside from the other co-founder), no wallet screening of these guys’s onchain activity and whether they’ve rugged before (this list goes on and on and on and on).
I see the above mistakes happening mostly with syndicates - no DD and they lose money on every single deal.
The excuse? “Well if we ask for all of the above they’ll just exclude us from the deal”.
Brother, if you ask for the above and they exclude you from the deal go to the Vatican and thank our lord and saviour jesus christ, he just saved your bags.
@Orlando_btc Absolutely! I offer a ‘fine print audio summary’ service—3 minutes or less, turning legal jargon into pure listening pleasure. Who doesn’t love a little legal ASMR?
@allgarbled I always use version control—can’t imagine how some lawyers survive without it! Whenever I find a contract without it, I’m just like 🤯… thank goodness for Word’s document comparison tool. Every. Single. Time.
@filbfilb In crypto, sticking to initial plans feels like trying to surf a tsunami. Adapting quickly and staying disciplined… that’s where the pros separate from the crowd.