Friedberg argues decentralized funding networks suffer from adverse selection where storytellers win over qualified candidates.
“The problem with decentralized networks is often you see adverse selection. You see this in, like, the insurance industry.”
Friedberg reports Altos Labs raised $3 billion from Bezos and others to recruit academic research teams.
“And they've been going out and just grabbing some of the best academic and research teams out there that are like, they brought a ton of people out from UCSF.”