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Convertible notes allow founders to close angel deals one at a time with varying valuations. It makes it much easier for small angels to compete with big angels. The old practice of stock issuance required a big angel to make the whole deal happen, and they could dictate terms. Now, big angels are losing their advantage over small angels.

I understand why they're unhappy, but I encourage them to compete fairly on their merits rather than anything anti-competitive.



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