Some things never cease to surprise me. Particularly when I see that one company which raised money a while ago is on the out, potentially. Their new funding, if you can call it that, destroys employee’s stock and founders stock. While another company raises a valuation that blows me away, particularly while I could not find any information regarding revenue. How quickly investors forget.
Just a few of the ramifications according to the article that LivingSocial is almost Bankrupt

Ramifications of LivingSocial’s Acceptance of The Oppressive Terms of Emergency Funding:
- 4,000 employees’ stock is rendered worthless
- Employees’ stock options are worthless
- Founder stock is worthless
- Emergency funding terms means LivingSocial handed over the company to today’s funders
- Nearly a billion dollars of investor money has been lost, as all early rounds (Series A, B etc.) are worthless
- … the list goes on and on
Pinterest Raises $200 Million on a $2.5 Billion Valuation

“A lot of last year was keeping up with growth [and] the big change with touch-screen devices,” said Mr. Silbermann, 30 years old. This year, “we’re building foundations to monetize.” quoted from the Wall Street Journal

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