Crowdfunding was born because venture capital, by its collusion, excessive investment fragmentation, and deal syndication has turned innovation arbitrage and intake-risk predominantly sub-prime (read: uniform). A product of venture capital’s own making.
Crowdfunding is the next level of such sub-priming, a further atrophy of risk even more incompatible with finding outliers than the risk deployed by the vast number of venture capital firms (read how the emperor wears no clothes) that do not deliver repeatable venture-style returns to their limited partners, and amidst a fog of self-induced false-positives leading to the failure to promote and fund innovation the world truly cares about post IPO.
The only entrepreneurs to “succeed” are those who either manage to sell the suspense of disbelief to the unsuspecting greater-fools of the pageantry of Silicon Valley positivity – or fantastically better and rare – prove the cyclical dogmas (er excuses) of venture capital so saliently wrong with renewable and thus lasting socio-economic value to society.
The latter requires entrepreneurial grit, determination, and wherewithal, derived from the bliss of unprecedented foresight poised to break the norm. Diametrically opposite to the extrapolation of hindsight as the rebel without evolutionary cause promulgated by the groupthink of a crowd.