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Most often pre-IPO companies grant options not RSUs. And the lock-up period is a post IPO lockup designed to stabilize the price of a newly offered security whi
by encoderer 13y ago
Most often pre-IPO companies grant options not RSUs. And the lock-up period is a post IPO lockup designed to stabilize the price of a newly offered security while it finds its market.
The existence of a lock up period does not inhibit pre-ipo trading on the secondary market, though to be clear there is no truly liquid "secondary market" for most companies.