DeFiance Capital CEO criticizes some Web3 startups for quietly running away: At least thank and apologize to investors

Arthur Cheong, CEO and CIO of DeFiance Capital, stated that many Web3 startups invested in in 2021/2022 closed without notifying investors, calling this "silent exit" unacceptable. He cited a post analyzing the current venture capital model, citing numerous issues, including a lack of oversight, a lack of transparency in the use of funds, and limited investor decision-making power. The post also noted that with ample capital, entrepreneurial risk can be minimized, allowing founders to reward themselves with salaries, travel, and other means, ensuring their track record benefits even if their companies fail. Arthur Cheong agreed with this view, but found it unacceptable.