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So you're saying that the founders should be wary that VC's aren't as risk-averse in this sense?

No, he's saying the VCs are much less risk-averse.

Agreed 100%. VCs aren't in the risk game. They're in the risk-mitigation game.

In addition to risk-mitigation, VCs are also in the "find things that are much less risky than they appear" game.

VC's are diversified… you aren't.