Chon Tang | Source | founding partner at Berkeley SkyDeck Fund

I actually think that venture, as an industry, it's not broken because it serves its role, but it's very antiquated. Venture is essentially the same model as it has been for 50 years. We don't do things very differently from how VCs were doing it 50 years ago and there's something with that. There's a lot of commonly held tenants in venture that I don't necessarily hold. Speaking as a former institutional fund manager, I just have a really hard time with the idea that we're gonna make 12 in investments in a fund, and if one of them turns out to be the next Uber or Airbnb, my investors get a 50 percent IRR on this fund. But, if there wasn’t, they're getting like a 5 percent IRR on the next one, or they’re not even getting their capital back. To me, the volatility inherent in that is problematic. In the public markets, we’ve moved away past the world where people would sit in front of a room and say, ‘I'm the smartest stock picker in the world.’ That's not what the hedge funds say anymore. The hedge funds say things like, ‘I know how to crunch the right numbers and do the right quantitative analysis and take both sides of the market, so I'm not exposed to market behavior.’ This week it’s kind of hard to make that statement because of what happened with GameStop but, by and large, we can say that the stock market industry has moved on tremendously from where it was 50 years ago. The venture industry is still a bunch of folks who sit on a stage and say, ‘I'm the best deal picker on the side of the Rockies.’ That's interesting and there's ways to improve the industry.