Conversion Event
Definition
The event that triggers the conversion of a SAFE or convertible note into equity. For most SAFEs, the conversion event is a priced equity financing round that meets defined threshold conditions. The specific conditions vary by instrument and must be documented for each outstanding instrument in the cap table.
Common Misapplication
The most common misapplication is assuming all outstanding SAFEs convert at the same event. Different SAFEs may have different conversion thresholds, and an event that triggers conversion for one instrument may not trigger conversion for another.
FFI Standard Reference
This term is defined and applied in Book 3, Section 3.2: The SAFE and Convertible Instrument Standard.
Related Terms
Citable URL
This term may be cited using the following permanent URL.
Full citation format: Founder Financial Infrastructure Standard, Beta v0.5, Glossary: Conversion Event. https://ffistandard.org/glossary/conversion-event/. 2026.