[w1ntermute]

> Hacker News is a forum of entrepreneurial and hacker-minded folks, and I think we're all worried about what it means for that sector of the industry, or the tech industry as a whole, if the company turns out to have been a sham.

Theranos has nothing to do with the tech industry. Recent concerns in the tech industry regarding valuations have to do with the viability of business models, not the viability of technology. No one's questioning whether Uber's technology is feasible - they're interested in things like the unit economics and other factors that impact long-term profitability.

> It would not be good for Silicon Valley if Theranos turns out to be anything close to a Ponzi scheme.

Ponzi schemes are a specific type of fraud involving unsustainable recursive financing. If there's any impropriety at Theranos, that would probably be (another type of) fraud.