They likely thought they'd be able to front run any issues. VCs don't invest to build viable businesses, they invest to make money. You can make a lot of money as an insider to a Ponzi scheme.
If you're planning on front-running any issues, I doubt you'd put articles like that (which publicly exhibit an almost pathological lack of self-awareness) on your website.
I was kinda thinking the sell to investors was that only the depositors were going to lose all their money and that suited the equity investors just fine.
