Again I know nothing and that’s probably why this keeps happening.

It’s my understanding that these VCs were finding a start up with an idea and then valuing them at let’s say 100M then giving them 10M for 10% ownership as their funding or financing whatever I don’t know the lingo.

Then in a few years the startup would need more money (because most of them are not profitable) and go back and the VC would up their valuation to 250M and give them another 25M and now they own 20% of a $250M company. They just made $15M and all they did was change their arbitrary valuation of the company and how well they are executing upon the idea that got them the first 10M.

You can look at a company like stripe. Their value hasn’t been written down while PayPal another payment processor is down nearly 80%. These VC’s have no inclination to write down their valuations because it will screw up their balance sheet and more than likely a real bank isn’t going to value them the same way since these aren’t profitable companies. Look at ROKU. Funded by SVB negative 17% profit margin. Look at RBLX. Funded by SVB negative 41% profit margin. Look at RKLB. Funded by SVB negative 70% profit margin.

What happens to all of these companies? This is the stuff no one will buy?