Unicorns - Hype, Hope and Hubris

Gaining unicorn status in a frothy market by employing senior preferred convertible stock builds media hype, encourages founders' hubris, creates valuation uplift, lifts early investors hopes & helps VCs raise Fund 2.

But as the tide goes out in weaker markets startups sit under a mountain of debt-like claims & common stock holders may be wiped out.

Read the Economist article "Why a lot of startups will come to regret their unicorn status"