The interest rates are letting the VCs turn the faucet off - it's not forcing them. Higher interest rates mean they can make more money by letting it sit in high interest bank accounts rather than actually exercising the money.

Meaning it's less worth it to get out the old pocket book - still results in the same issues l guess though.

High interest rates makes money and debts go up at the same time. Good for those with money, bad for those with loans.