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Binance has launched Pre-IPO Perpetual Contracts, a new derivatives product allowing users to trade on the anticipated public valuation of companies such as OpenAI prior to their IPO.
Binance has introduced Pre-IPO Perpetual Contracts, a new derivatives category that allows users to take positions on the anticipated public valuations of private companies before their initial public offering. According to official information, the first contract in this series is based on SpaceX, with settlement and margining in USDT and up to 10x leverage available.
These contracts operate similarly to standard perpetual futures but use signals such as publicly available valuation ranges until a company goes public, at which point the contract’s pricing shifts to track live market data. Binance characterizes this launch as part of its wider move toward providing broader financial products, noting that risks include significant price volatility, potential margin calls, lack of ownership of underlying shares, and no guarantee that an IPO will take place.
Binance is a Hong Kong-based cryptocurrency exchange recognized for high liquidity, extensive trading volumes, and a proprietary BNB Coin that enables reduced commission fees on the platform. The exchange offers its own cold wallet for asset storage, though users should be aware of a complex verification process, lack of regulatory licensing, and occasional platform outages. For more details, see the full review on Traders Union: full review on Traders Union.
For more context on Binance's recent activities, see the previous Binance update on Traders Union, which covered the launch of DYOR, a research hub focused on Alpha Tokens and on-chain transparency. Learn more in the previous Binance update on Traders Union.