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Roughly 72 hours after a prominent startup customer complained that Carta was misusing information with which it was entrusted -- scaring many of Carta's tens of thousands of other customers in the process -- Carta is exiting the business that landed it in trouble with the customer. It's a dramatic turn of events for 14-year-old Carta, which originally focused on cap table management software but began over time to evolve into a “private stock market for companies” to take advantage of the network of companies and investors that already use its platform and into which it has insights. While the move made Carta more valuable in the eyes of its venture backers -- a company has to scale, after all!

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