trade.xyz will launch Pre-IPO stock perpetual contracts

Foresight News reports that, according to the latest documents from trade.xyz, the platform will launch Pre-IPO stock perpetual contracts. This market only reflects the prices of companies about to go public and is not a direct mapping of actual stocks. trade.xyz stated that the opening prices will be based on the company's most recent public funding round, disclosed valuations, IPO documents, or other relevant public information.

Before the target company goes public, the Pre-IPO perpetual contract market will use a mechanism similar to Hyperp for trading. After the target company completes its public listing, the corresponding perpetual contract market will transition to a standard external-priced perpetual contract based on the listed stock. The conversion will take place when sufficient external market data is available to support standard oracle pricing.