Tezos raised $232 Million in July from investors.
The “in fighting” at Tezos has begun, putting in question, the returns of investors.
This is daunting as one of the original tenants of Tezos is a better governance system.
Principle 1: Give yourself a chance to make money. By raising $232 million, Tezos needs to demonstrate that its valuation is at least $232 million over the long run. However, as an investor, taking on risk, our minimum expectation is that the value of the Tezos needs to be $2.3 Billion (10x of initial investment). In hindsight, this is hard to do with no customers and just a white paper.
Principle 2: Traction. Again, no customer, no adoption, just a white paper. $232 million is a lot for a long way to go.
Principle 3: Replication. Traction give us data. Allows Tezos to scale, optimize, improve. There is nothing keeping a different team from executing a similar idea.
Principle 4: Incentives. Money makes people behave differently. Face with limited run way, survival, challenges, people are incentivized to collaborate and solve problems. With things to lose, we worry about protecting what they have.
Principle 5: Time Tested. Its likely the case that in many instances, the original founding team is not the same team one year later. It is therefore important that we see a team successfully build stuff together.