With stock options would the 5 year clock start only when the options are exercised, when they were granted, or when they vested?
Note, however, that the "valuation" from a QSBS perspective is usually significantly less than the PR valuation you hear when a startup raises a round (which assumes all shares are valued at the new preferred share price)
I think it's the former, when you early exercise, but the language seems a bit confusing.
however, as this is an anonymous forum, filled with scoundrels, tax and legal “advice” should always be ignored with prejudice. you would do well to ask an accountant or tax advisor on your own.