There doesn't seem to be a lockup period, and the conversion seems incompetently delayed. There's no reason given why it should not have been possible for them to dump shares if they wanted.
They didn't get to sell the top on the post-SPAC debut. Their Bs are being converted to As, but it's not as fast as they want. They are missing their maximal payday (assuming BZFD shares don't recover) but there is nothing here about them not getting their shares and being about to sell.
Or, wildly better, you could hold the options unexercised, and use that $2 per share for whatever you want, including paying capital gains taxes on other gains.
Burning up options on 100 shares to generate $200 in losses (and actually losing $200 of cash in the process!) to offset gains that will result in $30-60 worth of tax liability makes no sense.
It would not be the furst time employees loose to corporate shenanigans
As far as buzzfeed not being Facebook so what? Stocks these days are more marketing than anything else.