I have zero experience in this area, but regarding the price volatility, I was under the impression that a lot of the massive late-stage investment rounds had b

I have zero experience in this area, but regarding the price volatility, I was under the impression that a lot of the massive late-stage investment rounds had been structured more like debt. So something like 2-3x liquidity preference, with a cap on returns[1]. Not sure if this is what the hedge funds are doing, but if so, seems like they are controlling the price and taking a risk on the time horizon. Of course the fact that they are heading towards the exits (according to this article) implies it's not going as expected. [1] http://blog.samaltman.com/the-tech-bust-of-2015 http://blog.samaltman.com/the-tech-bust-of-2015