"[..] while still allowing for a decent income even in the event of failure." How does this work? You're just taking enough of a salary as an early stage C[X]O/founder that your downside is limited?
Essentially. At least enough not to accrue debt. In the event of complete failure of the startup, you'd still likely come out worse financially than if you'd taken a more traditional job (especially in tech). So there is, of course, still substantial opportunity cost — but the upside of success can be huge.