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Superstate: Unlocking On-Chain RWAs | Rob Leshner

Empire

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The Importance of Separate Terms in Strategic Investments

If Franklin Templeton or Vanguard wanted to put in a big chunk, would you let them or is that a competitor now on your cap table? I actually think it's generally okay to take strategic investments as long as there's no separate terms. One of the things I've seen actually harm a lot of companies are when strategic investments come with incredibly restrictive covenants or side letters. All of these things that are not purely capital-based can only harm a company and make it less successful.

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