That estimate comes courtesy of research from EquityZen, and assumes that Square prices its IPO at $13 per share, the top end of the expected range.
In 2009, Vinod Khosla's venture firm led a $10 million investment round, valuing shares at 22 cents each. The $10 million investment gave the company a $40 million valuation, before it had even launched its square-shaped mobile credit card swipers to the public.
Now, Khosla Ventures stands to make back its investment almost 60 times over. The firm was investing out of a $1 billion fund, and the Square investment alone will return 60 percent of the fund.
At the time, Khosla was betting that Square co-founder and CEO Jack Dorsey, who also co-founded Twitter, would transform yet another industry: the payments business. Khosla made subsequent investments, ultimately ending up with 50.5 million shares, or about 15 percent ownership.