He kept 80%. The other 20% is owned by 8 different VCs. Seems like he's still in control. There's value in using other people's money instead of your own because it might make him less emotionally risk-averse in how he manages it.
Most of the time it's not about the money VCs send into it but the credibility that this brings. It looks a lot more mature when your idea is backed by a distribution of wealthy people.