Downside Protection

The discipline of thinking through potential losses as rigorously as potential gains — giving equal weight to scenarios where things go wrong. Observed as systematically underemphasized in U.S. tech culture, where a long run of Venture Capital successes (Airbnb, Stripe, Coinbase) has conditioned founders and investors to focus predominantly on upside. Contrasted with the more balanced upside/downside reasoning common in markets with fewer recent breakout successes. Referenced in An Interesting Thought Someone in… (tweet).

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