Coinbase launches SpaceX pre-IPO futures

Coinbase>>> has launched pre-IPO perpetual futures contracts, beginning with SpaceX>>>, for eligible traders outside the U.S. These derivatives, denominated in USDC (cryptocurrency)>>>, allow speculation on a private company's valuation before its public listing without equity ownership. The contracts have no expiration date, offer up to 5x leverage, and convert to standard perpetual futures upon IPO completion. This move by Coinbase>>> aims to diversify its trading offerings and attract users, especially during crypto market downturns. Other exchanges like Binance>>> have also entered this market. SpaceX>>>'s anticipated IPO, targeting a $1.75 trillion valuation on Nasdaq-100>>>, highlights the significant interest in these pre-IPO products. Coinbase>>> plans to expand this offering to other high-growth sectors like AI and energy, though it warns of elevated risks such as lower liquidity and higher volatility.