I see it differently. If these guys are great at spotting something that has legs and are able to do diligence well and more quickly then their peers, than they should be rewarded for that. Second, why is this markedly different than 3 Stanford grads raising a ton of cash for an early stage venture? In that scenario, every GP knows full well that they are banking on people first — knowing that a pivot is likely. In other words, its not uncommon for VCs to put 10’s of millions in series A capital into a “dream team” on the assumption that even if the original idea doesn’t pan out, the team has the moxie to maneuver to something greater. At least in the scenario, LP investment will be distributed across multiple ventures. At the end of the day, VCs invest in people first and apparently so do LPs.