Venture capitalists have been getting a black eye to go with their blue shirts. A recent report from the Kauffman Foundation slammed VCs for “shortchanging” investors, pointing out that public markets deliver better returns. The next day, Fred Wilson, general partner at Union Square Ventures and prominent VC blogger, suggested that a flood of crowdfunding money unleashed by the JOBS Act could sweep away venture capitalists altogether.
It could happen.
“The game has changed,” says Paul Kedrosky, a senior fellow at the Kauffman Foundation who’s focused on entrepreneurship, innovation and the future of risk capital. “It’s obvious to everyone in the industry that crowdfunding is no longer just a toy.”
To read the full, original article click on this link: Will Crowdfunding Crowd Out Venture Capital?
