PANews reported on May 1st that the official documentation of the decentralized exchange TradeXYZ has added content on the Pre-IPO Perpetuals market. This product is reportedly a perpetual derivatives market built around the expectation of a company's public listing, aiming to provide a continuous trading mechanism for pre-IPO price discovery. This product is not a stock, IPO allocation, tokenized equity, or security interest. Holders do not have ownership, voting rights, dividend rights, or any claim on the underlying company. Furthermore, it adopts an internal pricing mechanism similar to Hyperps, not relying on external spot or index oracles, but rather forming a reference price through the market itself.

It is understood that once the target company is officially listed and has sufficient external market data, the relevant Pre-IPO perpetual contracts will be converted into standard externally priced perpetual contracts, and the positions will automatically continue. However, price switching may lead to immediate changes in profit and loss or even trigger liquidation. If the company fails to list as scheduled, the market will enter the settlement stage according to preset rules and complete the final settlement through mechanisms such as TWAP.