Theranos was not a Silicon Valley darling. I don't think there were any big SV venture funds involved. It was people like Ruport Murdoch, Henry Kissinger, George Shultz, and James Mattis investing and sitting on the board.
Please allow to present some exhibits.
https://www.businessinsider.com/the-history-of-silicon-valle...
"Theranos, the blood-testing startup that went from Silicon Valley darling to facing fraud charges"
https://www.cnbctv18.com/business/from-silicon-valley-darlin... "From Silicon Valley darling to fraud accused"
https://www.theguardian.com/technology/2021/aug/28/elizabeth... " the Silicon Valley darling said could perform a variety of medical tests with just a drop of blood"
Don Lucas. Larry Ellison. Oracle.
As I said, Elizabeth Holmes being pretty much from Silicon Valley royalty was key to the leverage she managed to achieve. I'll be surprised if she's found guilty.
Not following up on that investment is a pretty strong signal