CZ New Book Disclosure: Venture capital silence during the Sept. 4, 2017 period disappointed him; Sequoia did not close the deal due to a valuation disagreement

Gate News, April 8: A CEX founder, Zhao Changpeng (CZ), recalled in his new book that after the 2017 “9·4” regulatory policy was introduced, venture capital firms as a whole became more cautious. Sequoia Capital, which had already indicated an investment intention, also paused moving forward with the related cooperation. CZ said, “When I saw the VCs go collectively silent during our most difficult September, I was actually quite disappointed.” CZ revealed that Sequoia had expressed interest in investing in the early stage when He Yi joined, but under the impact of the policy they chose to wait and see. Even so, the exchange still achieved rapid growth from September to October: the number of users rose from about 20,000 in August to about 120,000 in late October, and it ranked among the global top ten exchanges while also turning profitable. After the risk phase had basically passed by the end of October, Sequoia once again expressed an investment intention, but CZ had already proposed raising the valuation requirements; in the end, the two sides failed to reach an investment deal due to a valuation disagreement. CZ concluded: “Venture capital won’t bring help in someone’s time of need—they only add flowers to brocade.”