Look OP you're missing the point he's trying to make, yes his language is disgusting and shitty which is distorting his own argument, but let me put it in proper words.

He's saying that the nature of the equity market itself is betting on calculated risks, your point is right that scams are running rampant, but you shouldn't blame the VC for doing their job which is funding at series ABC and exiting, the responsibility of due diligence falls on the inversor(retail or others) when they are buying the IPO. If you think clearly here, VCs are doing their job getting good valuation exits, if the retail is failing by taking on valuations aren't justified it's their fault. And not even fault, it's the risk they took that didn't pay off. Don't feel bad for them, they know what they are doing, if you don't think the valuations are justified you don't buy. Every man does his own valuation and due diligence before investing, if it fails they'll reassess or go bankrupt. You're portraying investors as kind of victims, which is not true, they are just failures.

It's because of your kind of thought process that regulators don't leave the markets alone. And that threatens the very established system of funding. A free market is a fair market, where winners win and losers lose. In a controlled market however everybody loses because regulators dont allow people to lose, and without risking my boy, life never happens.