"Carta's Exit from Startup Stock Sales: Prioritizing Trust Amid Credibility Hit"
Carta, a cap table management software company, is exiting the secondary trading business after facing backlash for allegedly misusing customer information. The decision comes after a public complaint from a startup customer, Karri Saarinen, who accused Carta of reaching out to his company's investors without consent. Carta's CEO, Henry Ward, acknowledged the breach of trust and apologized, emphasizing the company's commitment to prioritizing trust. The move raises questions about Carta's valuation and future business strategy in the startup market.