Figma, the design software company, experienced a volatile trading period following its initial public offering (IPO) on July 31, 2025. The IPO price was set at $33 per share, a decision influenced by CEO Dylan Field's aim to include long-term institutional investors. The stock debuted at $115.50, surging approximately 250% on the first day and reaching a peak of $143, which valued the company at nearly $68 billion. However, in the days following the IPO, Figma's shares declined sharply, dropping as much as 45% from the high to around $88.60, resulting in a loss of about $21 billion in market value. Despite the pullback, the stock remains roughly three times the IPO price. Analysts noted that the limited float of about 7% at IPO, combined with pre-IPO hype and retail investor enthusiasm, contributed to the initial surge. The company's fully diluted valuation now stands at approximately $56 billion, still nearly triple Adobe's 2022 offer for Figma. The CEO has become a multi-billionaire amid this turbulent market debut. Discussions continue about the sustainability of Figma's growth and the impact of AI on design, with the company emphasizing long-term collaboration and innovation. The IPO has sparked broader conversations about market dynamics, investor behavior, and the role of venture capital in tech public offerings.