Avichal Garg, co-founder of Electric Capital, shares a core venture capital mental model during a lightning round discussion with Evanston Capital's Manish Gandhi.
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“There are no good investments in venture. It's either investments where you said no, you should have said yes, or it's investments where you said yes, but you should have put in a lot more money. There's just no good venture investments.”
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More from Avichal Garg
AssertionSupported
Garg: DeFi protocols like Maker and Aave did not fail in 2022
“DeFi worked. DeFi didn't fail here. Maker is still going. Frax is still going. Ethereum is producing blocks. You can send money around using stable coins. You can still take money out of Aave. All the systems that are designed to be over collateralized and res…”
Avichal GargAug 4, 2022▶ 19:26Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
AssertionNot checkable as stated
Garg: Decentralized storage protocols like IPFS are competitive with AWS
“And beyond that, even decentralized infrastructure. You have things like IPFS, Interplanetary File System, which is incentivized with Filecoin, or RWE, which is a permanent data store. And these things work. You can actually store data on them. Depending on wh…”
Avichal GargAug 4, 2022▶ 24:18Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
PredictionNot checkable as stated
Garg: Most DeFi protocols will fail to capture defensible value
“A lot of these protocols ultimately we think will not capture that much value despite there being very useful. It's just going to be really tough for them to actually capture significant value defensively over time.”
Avichal GargAug 4, 2022▶ 29:16Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
Insight
Liquid crypto tokens are seed and Series A startups gone public
“Essentially, these are seed stage and series A companies that have gone public.”
Avichal GargAug 4, 2022▶ 37:53Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
PredictionNot checkable as stated
Garg: NEAR Protocol is in the top five to survive long term
“They're easily in the top five of things that will actually persist and will survive and have a real value and real ecosystems built on top of them.”
Avichal GargAug 4, 2022▶ 48:30Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
Insight
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Avichal GargAug 4, 2022▶ 50:59Avichal Garg – Programmer-Centric Crypto Investing at Electric (Manager Meetings, EP.34)
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