A lot of people here and in the media seem very troubled by Theranos and say it is a sham or a fraud. But a fraud upon whom?

Theranos is a private company with a small number of sophisticated institutional investors: ATA Ventures, Continential Ventures, Draper Fisher Jurvetson, Tako Ventures, and Larry Ellison (founder of Oracle) [1].

These sophisticated investors presumably performed due diligence before parting with $400 million.

But then again, maybe journalists and internet commenters know more about this company than Draper Fisher Jurvetson and should all set off on lucrative careers as biotech venture capitalists.

[1] https://www.crunchbase.com/organization/theranos/investors