7% of first round investment is definitely not 7% of current valuation. Also a lot of that 1B is paper money: the later rounds often get preferred shares and pr

7% of first round investment is definitely not 7% of current valuation. Also a lot of that 1B is paper money: the later rounds often get preferred shares and preferences in exiting events. YC got common shares as the employees, and if you are around long enough, you'll know how those common shares are worth in most cases.