AI unicorn's massive funding depletes VC capital, top institutions accelerate fundraising amid DPI return concerns

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CryptoWorld News: The massive funding of AI unicorns is depleting venture capital (VC) funds, with top institutions like Founders Fund and Thrive Capital accelerating fundraising, shortening the cycle to less than two years. Due to frequent funding rounds by OpenAI and Anthropic, the speed of VC fund consumption is far exceeding expectations. Founders Fund raised $4.6 billion last year and is raising another $6 billion this year, mainly investing an average of $600 million in seven companies. Howard Morgan, chairman of B Capital Group, warned that quickly deploying funds could cause missed opportunities to position at low valuation troughs, thereby lowering returns. Data from Carta shows that the cash return rate (DPI) in the VC industry remains at a historic low, with the top 10% of funds invested in 2021 only recovering 16% of principal. Some VCs are bringing forward their fundraising plans for 2027 and actively exploring new funding sources such as overseas sovereign wealth funds.
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PerpColdHands
· 3h ago
Founders Fund's rhythm, raising one round every two years, investing before the money even warms up.
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RevokingPermissionsOnARainy
· 4h ago
AI unicorns are attracting huge investments, VCs are quickly being drained.
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TheRetreatButtonIsVeryLarge.
· 4h ago
Carta's data is heartbreaking; only the top 10% returned 16%, and LPs are starting to lose patience.
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On-ChainCatUnderTheMoonlight
· 4h ago
Source of overseas funds? Probably have to go to the Middle East to find investors again.
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StargazingWithAMirroredSphere
· 4h ago
Howard Morgan is right; rushing to invest might really cause you to miss the bottoming opportunity.
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