They never spent their Series A cash. What you're reading is a common misinterpretation of GAAP, which values equity on a cash basis, even though it has no mate

They never spent their Series A cash. What you're reading is a common misinterpretation of GAAP, which values equity on a cash basis, even though it has no material impact on the company balance sheet. If you look at the cash flow statement in their SEC documents, the cash story is more clear. They never spent investor money from their Series A-on. After Sequoia completed the Series B, Jan and Brian forwarded them a copy of the bank account statement before the Series B financing, showing the original invested funds untouched. They were acquired less than a year later. Whatsapp was a money-printer! It deserves that reputation.