I can see why illiquidity is a feature in startup equity. The noise of constant price action combined with the actual volatility of a startup would be so unproductive

yeah, experienced a version of it when twilio went public.

difficult and unnatural for employees to understand the lag and lack of correlation between effort, results and market price, which is often years.

the more irrational the market the worse it is.

building • prev manifold.xyz, twilio.com

There's a good amount of liquidity events along the way to going public, too, for folks that need a way out. Tender offer, buybacks, etc.