Thus, the risk-return profile of SAFE investors is that of equity investors in a start-up in the start-up phase. The other big problem with convertible bonds is that they include accrued interest. This accumulated interest is added to the principal of the convertible debt and can lead, over time, to considerable costs for startups in terms of repayment obligation or dilution of equity (if the converted debt is converted into equity). When assessing the recognition of those types of other sources of funding, issuers should take into account the guidelines for financial instruments that are not issued as outstanding shares. This is another case where current accounting standards do not sufficiently understand or take into account the realities of the operation of SAFEs. This requirement is clearly met. .