The liquidation preferences matter a lot. The company can sell for a tenth of what the valuation is now, maybe even less, and the investors would still break ev

The liquidation preferences matter a lot. The company can sell for a tenth of what the valuation is now, maybe even less, and the investors would still break even. There aren't a lot of new consumer companies with zillions of users to invest in so they might as well, because the downside isn't that bad and the upside is... who knows?