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On Thursday, July 31, design-tech company Figma Inc. (NYSE:FIG) launched its initial public offering (IPO).
This isn’t just any tech company. It’s the collaborative platform used by thousands of companies, from startups to heavy hitters like Google and Airbnb, to design everything from websites to cloud-based apps.
That, on top of Adobe’s $20 billion buyout attempt back in 2022, made it one of the most anticipated IPOs in years. Everyone from Wall Street to Silicon Valley had 7/31 circled in their calendars.
And Figma absolutely exploded out of the gate, tripling on day one and racking up over $55 billion in value.
I tried to grab 1,000 shares before the open. What happened next still has me shaking my head.
Trending: The same firms that backed Uber, Venmo and eBay are investing in this pre-IPO company disrupting a $1.8T market — and you can too at just $2.90/share.
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As a retail trader, getting in on IPOs used to be almost impossible. Wall Street’s big banks had it locked down, scooping up shares before most of us could blink. But in 2021, Robinhood launched its IPO Access program, which changed everything.
It gave everyday investors a shot at buying IPO shares before they began trading publicly.
So, when Figma popped up in Robinhood’s IPO Access tab, I jumped in. I read the prospectus, punched in a request for 1,000 shares at the maximum price of $33, then waited for the big day.
I got the confirmation email as well, showing $33,000 committed – but I’d only be charged if I got an allocation.
Then came IPO day.
FIG opened at $85 and ripped even higher. With shares tripling, I was already doing the math in my head, thinking “If I got filled on all 1,000 shares, I’m up over $80,000!”
Except I hadn’t yet read the second email from Robinhood.
When I finally opened it, I saw this: “Your request to buy 1,000 shares of FIG was partially filled. You received 1 share at $33.”
One. Out of 1,000.
See Also: Accredited Investors: Grab Pre-IPO Shares of the AI Company Powering Hasbro, Sephora & MGM—Secure $0.63 Shares Before 8/14
So, what happened? Robinhood uses a random allocation process – essentially a lottery. It doesn’t matter how many shares you request or how big your account is. It uses a fair system. But sometimes, fairness can sting.
