Assuming the NASDAQ / S&P aren't gamed into listing these at offering price to game the system into putting ~10% of people's retirement into a junk stock on day 1.

"Buy the index" isn't a solution for human influence and corruption, there are people in control of what goes into the index too.

When a stock hits the public market, it gets incorporated into broad market index funds (subject to the rules of those funds). If an overvalues stock gets dumped onto the public market, then crashes after being bought by index funds, then holders of those index funds are harmed.

I mean that used to be true until companies began strong-arming the indexes to include them on day 1 instead of having a mandatory 1-year waiting period. Now you're taking the bag whether you like it or not.