1/ @paulg invited Fred for office hours at @ycombinator in 2012. Fred met 16 startups back-to-back in a gruelling 4 hr session. Coinbase was among the startups that pitched and even though it wasn't raising money, Fred expressed interest right away. He was the first VC to do so.
2/ Six months later Coinbase went out to raise a Series A, met a bunch of other VCs, and initially got just 1 term sheet (with very bad terms). The fundraising process was far from easy. However, USV were still keen and put in an offer to invest. Here's why Brian chose them.
3/ Bonus tip for VCs from Fred: don't do "exploding" term sheet offers. You're investing for the long term and it makes no sense optimising for a short-term value squeeze when you're about to enter a 5 to 10 year relationship with the company you're investing in.
4/ Full video here https://youtu.be/EDTKalbrBfo
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