Some investors have started distancing themselves from Dispo, a fast-growing photo-sharing app, after its co-founder, the YouTube creator David Dobrik, became embroiled in controversy.
Dispo, which launched in 2019, is a photo-based social platform similar to Instagram that mimics the experience of using a disposable camera. Photos taken through the Dispo app take 24 hours to “develop” and appear on a user’s feed.
In October, Dispo raised $4 million in a funding round led by Seven Seven Six, the firm of Alexis Ohanian, the Reddit co-founder. In February, the company garnered an additional $20 million in a financing led by Spark Capital; the funding valued Dispo at $200 million.
But in an investigation by Insider that published last week, Mr. Dobrik was accused of playing a role in a sexual assault scandal involving a former member of his “Vlog Squad.” He later told The Information that he would leave Dispo and step down from its board. And some of Dispo’s investors have also started backing away.
posted on Twitter.
On Monday, Mr. Ohanian and Seven Seven Six also issued a statement calling the accusations against Mr. Dobrik “extremely troubling” and “directly at odds with Seven Seven Six’s core values.” Mr. Ohanian posted to Instagram that he and Seven Seven Six supported Mr. Dobrik’s choice to step down from the company.
Seven Seven Six also said on Twitter that it would donate any profits from its investment “to an organization working with survivors of sexual assault.”
Maitri, which is focused on helping South Asian survivors of domestic violence.