I’m claiming it would generally not work in practice. (There’s a reason that founders pledge suggests pledging money for after you exit, not trying to donate earlier than that.)
There is an established mechanism for doing this called selling shares into the secondary market. From Carta:
Between 2012 and 2021, the global market for venture secondary deals grew from $13 billion to $60 billion. This growth happened in part because the primary market for venture capital also grew: Over the same span, annual global venture investment rose from just over $50 billion to well north of $600 billion. This growth culminated in a record-setting 2021.
[Added 17Nov: the selling of private equity, e.g. in FTX, on the secondary market seems like it was quite possible in 2021. It is a tragedy that this wasn’t done.]
I’m claiming it would generally not work in practice. (There’s a reason that founders pledge suggests pledging money for after you exit, not trying to donate earlier than that.)
There is an established mechanism for doing this called selling shares into the secondary market. From Carta:
https://carta.com/blog/venture-capital-secondary-market/
Thanks, I’ve added this to the post: