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Investors who back VC funds are worried about Valley culture

Lazaro Gamio / Axios

Limited partners in venture capital funds are having conversations about how to prevent themselves from investing in the next Binary Capital, the Silicon Valley firm that has collapsed over allegations that one of its co-founders sexually harassed female entrepreneurs. This includes the largest LP trade group – the Institutional Limited Partners Association – which tells Axios that it is planning to address these issues this summer, as part of the development of its new ILPA Principles 3.0 document.

Why it matters: Silicon Valley, and venture capital in particular, has swept sexual harassment under the rug for decades. Binary Capital, coming on top of the situation at Uber, has grabbed that rug and begun to shake it vigorously.