This is a huge risk that can lead to a second dangerous implosion of the startup market. A frugal approach to innovation I think is still the main road and the lean startup teachings are more important than ever. The huge growth of Bay Area costs is producing more and more startups working with a dual model, where the founding team is in Silicon Valley, while the rest of the people are abroad. This model is bringing back the importance of focusing on key elements such as product-market fit and low burn rates. They are an evergreen in a healthy startup. Then you have startups that live in a reality distortion field. They raise $1B in their first round hoping to replace time with a huge flow of money. But remember that a great meal takes time to be cooked.
