Gurley calls the stay-private-longer strategy a fraud because private company cap tables are designed only to go up, not down.
“It's times like this where that strategy, I think, gets exposed as the fraud that it was precisely because private company capitalization charts don't go down very well. They're designed to really only go up.”
Gurley calls stay-private-longer strategy a fraud, saying private cap tables handle down rounds worse than public markets.
“It's times like this where that strategy, I think, gets exposed as the fraud that it was precisely because private company capitalization charts don't go down very well.”