True, but sadly he's right. I still get emails from projects I funded YEARS ago that have still yet to ship a single product and they're still trying to make promises.

I'd argue that these platforms create a perverse incentive for people to exaggerate their experience and/or product to appeal to the clueless masses but I guess that's the same with most kinds of marketing ...

The same perverse incentive underlies all marketing. If you tell the truth and make sane claims you lose to flash, grandiosity, and viral gimmicks. Over time the whole system runs over a cliff. It's sort of a game theory meltdown thing.

It is eventually self correcting, but that usually involves a market crash and a Game of Thrones style winter where the junk is purged.

But not very surprising. Projects promising the impossible raise impossibly large sums of money and attention, attracting more people trying to do the same. Since these are the projects that get most of the attention, they end up driving the reputation of the platform. Projects trying to accomplish reasonable things for a reasonable amount of money can barely raise enough money and when they do they fly under the radar.

Considering the amount of outright scams on sites like this they should be happy that this is the reputation.