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One of the biggest warnings with "equity" in a startup:

Even if you know what you're doing and you watch it like a hawk it's pretty easy for other parties to pull any number of shady but technically legal moves to significantly devalue yours/others while protecting their own.

If this proves to have merit it's one of the more shocking (yet straightforward) instances of this kind of unfortunately routine behavior.

That said it's a little hard to believe anyone would take $100 instead of holding on to it to see what happens. Depending on personal circumstances I can see how $100k or more could be tempting but $100 is ridiculous.



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