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A comment on Announcing the Safe, a Replacement for Convertible Notes. Parent comment

Re:Announcing the Safe, a Replacement for Convertible Notes by syedkarim on Saturday December 07, 2013 @07:35AM (#6866261)
Isn't a set-price, as opposed to a discount, the simplest way to align everyone's interests immediately and cheaply?
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Re:Announcing the Safe, a Replacement for Convertible Notes by rexreed on Saturday December 07, 2013 @08:56AM (#6866356)
Sure, but that means setting a valuation. Price = valuation.
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Re:Announcing the Safe, a Replacement for Convertible Notes by syedkarim on Saturday December 07, 2013 @09:12AM (#6866397)
Precisely. But there's nothing inherently wrong with setting a valuation. At the earliest stages, it's all very arbitrary anyway. There's no reason not to reward the earliest investors for taking, by far, the greatest risk. A 10%-30% discount does not seem commensurate to the degree of de-risking.
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