I'm disappointed to know that YC has drank the cool-aid on China. Once you invest significantly in China, you quickly find yourselves beholden to the whims of the CCP. And for what? Such privileges as building their dystopian techno-autocracy for them? I don't see any signs in this statement that you are going into this with your eyes open to either the difficulties this will cause down the line, nor the morally "que…
And even if you are successful, you have to consider the ethics of what you're enabling - suppose you create a wildly successful and helpful service for Chinese people that involves users' geographic data, private messages between individuals, or financial transactions. You won't get a say in turning over that data to authorities for any and every reason that they have for wanting it. Are you willing to actively participate in corruption and the quashing of political dissent for money?