# Unicorn

*Startups & Venture Capital — Finicade finance glossary*

A unicorn is a private company valued at $1bn or more. The term was coined in 2013 to describe something rare, and there are now over a thousand, which tells you more about capital abundance than about company quality. A paper valuation set by a small round with strong preferences is not a market price, as the wave of down rounds after 2021 demonstrated.

**Also known as:** unicorns, decacorn, billion dollar startup

**Related terms:** [Venture Capital](https://finicade.com/glossary/venture-capital), [Down Round](https://finicade.com/glossary/down-round), [Liquidation Preference](https://finicade.com/glossary/liquidation-preference), [Exit](https://finicade.com/glossary/exit), [Secondary Sale](https://finicade.com/glossary/secondary-sale)

Source: https://finicade.com/glossary/unicorn