I work at a recently IPO'ed unicorn that is doing extremely well and can confirm that in the early days (sub 100 employees when I started) we were more concerned with people who could ship software/solve real problems and had data/experience to confirm this. Now that we are public and growing, it's all leet code style questions to get hired, and I can say first hand that the velocity of development, as well as innovation has dropped off a cliff.
It's to the point that I've stated to leadership that I would fail the interview for the job I've been a top performer in for the past 5 years as the interview format doesn't actually focus on real world skills, but memorising algos.
We've essentially imported this culture into what was once, one of the most dynamic companies I had ever seen. It's awful and I can't wait to leave. Most of the older timers are already going for similar reasons.
More of a rant then a comment I guess, but I just really related to your experience.