That's not really how equity works. A company can issue equity out of thin air, and in fact, this is how most employee stock based comp works. In fact, Google s

That's not really how equity works. A company can issue equity out of thin air, and in fact, this is how most employee stock based comp works. In fact, Google specifically is criticized on their financial returns because of how much of their compensation is based in equity which dilutes existing shareholders outside the company. You can read about the high level ideas of this at https://www.wallstreetprep.com/knowledge/modeling-stock-based-compensation/ https://www.wallstreetprep.com/knowledge/modeling-stock-base...