Cryptocurrency exchange Coinbase is rolling out a perpetual futures product for pre-initial public offering (IPO) companies. The first company available for trading is Elon Musk's aerospace firm, SpaceX.
The SpaceX pre-IPO perpetual futures are settled using the USDC stablecoin, tradeable 24/7, and positions automatically translate upon IPO completion. This could yield significant profits or losses based on the valuation difference.
Coinbase CEO Brian Armstrong highlighted that the product aids price discovery for private companies, though it is only available to users outside the United States. More pre-IPO listings are expected soon, spanning technology, AI, energy, and space sectors.
This development coincides with Forbes reporting that SpaceX's estimated IPO price of $135 per share could make Elon Musk the world's first trillionaire. Reuters indicates the IPO is targeted for June 12.