I think that's why Uber is trying to diversify, and fast. Amazing that so much money was thrown at this company whose business model was, as you put it, "basically illegal".
I'm going to start a netsharing company. We're going to put up wifi routers around town and charge people for net service, but we're not going to pay for the outbound connections. Instead we're going to wardrive around cities and wherever we find an poorly secured wifi network, we'll place a repeater there that routes our outbound net traffic through it. We'll be able to offer offer cheaper net access than everyone else, get a bunch of users, and thus a bunch of revenue, and we'll have a huge margin on our balance sheet. Who wants to toss us a few billion dollars?
Or maybe I should start a construction sharing company. We'll let anyone who wants to be a "builder" sign up and offer construction to anyone who wants the job done. No, they won't be licensed or have any sort of "permits", but that's not our issue, that's theirs. The point is, they'll be able to build things really cheap! And so we'll get a bunch of users, and thus a bunch of revenue, and we'll have a huge margin on our balance sheet. Who wants to toss us a few billion dollars?
Or maybe I should start a medicine sharing company... or a sex-for-money sharing company... or a software-license sharing company... or a gunsharing company... you see, if you add the word "sharing" to it, it's not really illegal!