Venture capital funds tend to underperform the market, and are subsidized by allocation requirements at their customers (pension funds, university endowments) that encourage relatively small slices of huge funds to be put into longshots and stuff that isn't correlated with lucrative investments. At least, that's what Kauffman said about it.
To generate outsized returns for a small subset of investors, you don't have to be anywhere nearly as sophisticated as a VC fund: you can just run a lottery.
If you want to do something more socially useful than a numbers racket, crowd-investing probably isn't the best way to go.
You are probably right, I am probably selling the dream when the reality is that by and large this sort of thing becomes a lottery than any sort of actual investment.
To generate outsized returns for a small subset of investors, you don't have to be anywhere nearly as sophisticated as a VC fund: you can just run a lottery.
If you want to do something more socially useful than a numbers racket, crowd-investing probably isn't the best way to go.