Snapchat is making waves. After rejecting Facebook's $3 billion offer,  the app is making more headlines than ever.

The app allows users to take photos and send them to friends, and after a few seconds, the photos self destruct. It first got popular with teenagers but it looks like more people are using it right now.

The company has no revenue, and has no clear sure-fire way to make money. But still, Snapchat is in talks to raise money at a $3.6 billion valuation.

Venture capitalist Bill Gurley tweeted, "If you still don't understand Snapchat, take a look at this tweet from our government's FCC:




Gurley's firm, Benchmark Capital, is an investor in Snapchat.

The problem with other online outlets is that it leaves a trail of actions, which could be taken out of context or sent at the wrong time. Sometimes what you post online can have unintended consequences. Which is exactly what Snapchat doesn't have to deal with.