How did Elizabeth Holmes hurt peoples view of the startup world?

As understood it they didn't get any traditional VC money.

And honestly I don't think that many people really know about / care about that story as far as generally impacting "start up world".

She is facing legal issues: https://www.bloomberg.com/news/articles/2020-01-24/elizabeth...

I don't know why her company failed or how she raised her money.