[fizx]

Everyone might have to be an accredited investor, which the majority would not qualify for. Another potential problem is that companies want to keep their cap tables minimal for regulatory reasons. Also, how does the 10% vote in board decisions?

Also, what if some companies held out. So now 80% of the YC companies are in this hedge fund. Wouldn't the most successful companies disproportionately come from the 20%--the ones who had enough confidence to reject the deal? Would the smart people in the 80% then defect as well, bringing the cabal down to 60%?