Recent fund vintages show low DPI, Chamath Palihapitiya notes

Recent fund vintages show low DPI, Chamath Palihapitiya notes
Venture capital DPI still near zero

Chamath Palihapitiya, founder and CEO at Social Capital, criticizes the performance of most venture capitalists, describing them as lacking in effective execution.

He points to the low distributions to paid-in capital (DPI) for the 2019 and 2020 fund vintages, stating that median DPI for these periods remains barely above zero.

Palihapitiya has recently commented on the difficulty of selling certain tech assets, questioning why SALP was unable to find buyers for its Anthropic stake. He has also drawn attention to the wide range in acquisition costs for leading crypto tokens, citing prices from $0.50 to $56 per million tokens in a previous analysis comparing token costs. These observations add to his ongoing scrutiny of capital allocation and returns in the sector.

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