Founder shuffling is not uncommon. Founders aren't always (or even often) great managers, leaders, or recruiters-- which is what you need to transition into if you're going to stay with the company. I'd encourage you to try to put yourself in their shoes. It doesn't feel fair for you, but if a co-founder who owned a huge vesting stake in the company didn't grow/perform like you'd hoped, would you want to negotiate their exit? Or would you keep them on out of loyalty, knowing that it hurt the company's recruiting efforts, culture, and chances of success?
It sounds like you've raised money, have a business co-founder, and have some other employees. All of those people are (rightfully) should be asking what's best for the company. Hopefully you are too. If the stock you're vesting (hopefully you have vesting schedule!) is outsized compared to the value you bring to the company, you need to fix the problem.
I'd ask your co-founder for their thoughts and (potentially) I'd ask your investors. Unless the CTO is going rogue, he's probably already got support on both of these fronts, which means you can't really do much other than make a scene and/or sue if they want to show you the door, which will damage your company, your stock in it, and your soul. No fun.
Assuming your co-founder agrees with the CTO (likely), options:
1) Say you love the company, don't want to leave, but acknowledge there is a problem with your compensation/value ratio. Negotiate to an agreeable role and pile of stock with the caveat that if you can prove yourself invaluable, you'd like to be able to come back to the table. If they push back, saying you aren't good enough, ask for a 3-6 month trial period to prove your mettle. Bust ass and become indispensable.
2) Leave gracefully, with a negotiated severance/stock package (know that they can dilute you and there are ways they can wipe you out at inopportune times: http://www.geekwire.com/2014/redfins-first-cto-shocked-surpr... )... But unless they are bad actors, you'll get a nice payday if there's even liquidity.
3) Pitch a fit. You'll lose this fight unless you guys botched the company setup or you have allies among the investors. This will hurt the company a lot and it's a bad path.
Good luck and (above all) congratulations for being instrumental in creating a viable company!
It sounds like you've raised money, have a business co-founder, and have some other employees. All of those people are (rightfully) should be asking what's best for the company. Hopefully you are too. If the stock you're vesting (hopefully you have vesting schedule!) is outsized compared to the value you bring to the company, you need to fix the problem.
I'd ask your co-founder for their thoughts and (potentially) I'd ask your investors. Unless the CTO is going rogue, he's probably already got support on both of these fronts, which means you can't really do much other than make a scene and/or sue if they want to show you the door, which will damage your company, your stock in it, and your soul. No fun.
Assuming your co-founder agrees with the CTO (likely), options:
1) Say you love the company, don't want to leave, but acknowledge there is a problem with your compensation/value ratio. Negotiate to an agreeable role and pile of stock with the caveat that if you can prove yourself invaluable, you'd like to be able to come back to the table. If they push back, saying you aren't good enough, ask for a 3-6 month trial period to prove your mettle. Bust ass and become indispensable.
2) Leave gracefully, with a negotiated severance/stock package (know that they can dilute you and there are ways they can wipe you out at inopportune times: http://www.geekwire.com/2014/redfins-first-cto-shocked-surpr... )... But unless they are bad actors, you'll get a nice payday if there's even liquidity.
3) Pitch a fit. You'll lose this fight unless you guys botched the company setup or you have allies among the investors. This will hurt the company a lot and it's a bad path.
Good luck and (above all) congratulations for being instrumental in creating a viable company!