Is it a second act for SecondMarket? That might be overstating the case, but the private market’s third-quarter report revealed that a growing portion of the sellers on its platform are current employees putting up shares in their own startups.
“More and more companies are using SecondMarket as an incentive tool,” Aishwarya Iyer, public affairs manager for SecondMarket, told Betabeat. “We have CEOs who are telling their employees, ‘We’re doing this for you.’”
Seventy-six percent of the sellers in the private stock market were current employees, up from 60 percent in the second quarter, SecondMarket said in a release, and a dramatic reversal from previous years: former employees made up 90 percent of sellers in 2010 and 2011. Read More