I don't agree that it was too early to take money off the table. It's about aligning incentives: the founders likely had other liquidity offers that must have l

I don't agree that it was too early to take money off the table. It's about aligning incentives: the founders likely had other liquidity offers that must have looked mighty tempting at the time. $3m each keeps everyone pointing in the same direction. It should be pointed out that the investors were no amateurs. Redpoint and Index are Tier 1 VCs, who know exactly what they're doing. They were investing in the next Facebook, and it turned out this was not it. That's the game VCs play.