BlockBeats news, on June 4, Coinbase announced the launch of a Pre-IPO perpetual futures product, providing eligible users outside the United States with exposure to private company prices. The first listed asset is the SpaceX Pre-IPO perpetual contract.
This product is settled in USDC, supports 24/7 trading with no expiration date or need for rollover, allowing users to open or close positions at any time like trading a standard perpetual contract. Once SpaceX completes its IPO, existing positions will be automatically converted into SpaceX perpetual contracts without any additional action required from users, ensuring seamless price exposure from the private to the public market.
Coinbase stated that it will gradually launch more pre-IPO perpetual contracts covering sectors such as technology, AI, energy, and aerospace to lower the barrier for global investors to participate in price discovery for private companies.
Coinbase also notes that the Pre-IPO perpetual contract uses a valuation-based index pricing mechanism and carries IPO conversion risk, with lower liquidity, higher volatility, and greater liquidation risk compared to standard perpetual contracts. This product is currently offered by Coinbase Bermuda and is not available to U.S. users.